Steady as she goes

Mid-week market update: Not much has changed since my last post, so I just have a brief update during a thin and holiday-shortened week. The S&P 500 remains in a shallow upward channel while flashing a series of "good overbought" conditions during a seasonally positive period for equities. The index staged an upside breakout at the 3700 level. The breakout has held and the market gapped up on Monday. The bears need the index to retreat and fill in the gap as a minimum signal of market weakness.

The full post can be found here.