We're sustaining price above VWAP; we have significantly positive Cumulative TICK and Delta; we're seeing nearly 2000 more advancing than declining stocks on the NYSE; and we're seeing small cap stocks lead the way higher: all of these are consistent with the picture of a trend day to the upside. (See this post for a list of my criteria for an upside trend day). Once we broke above the multi-day trading range and could not sustain prices back into that range, we created a transition from a bracketing market to a trending one. Given such a transition, selling strength is no longer the winning intraday strategy; buying dips is.
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