If the market closed right now it would be the most impressive session of the summer.  Yes, if the major indices are unchanged or slightly higher that would be huge.   Why?  Well, we stumbled out the gate down big led by fan favorite Facebook.  But, without news or warning, selling stopped and the losses were chipped away.  In fact, this is the week that looks like the kind of capitulation many have looked for with the overall market in a vast number of individual names.

We held above yesterday’s low and since Monday, have witnessed a series of higher lows.

On the upside, however, there’s clear resistance around Dow 17,800.  The narrow trading range would be an improvement from complete freefall or even a downward bias.

Dow Jones Industrial Average

The breadth is also better not belying what we’re seeing on the surface. A sideways session at the close will be greeted with a yawn and written off as a lazy summer day. Maybe it should be greeted with cheers.