Russell 2000 Closes at Record High

The market was sluggish for much of Tuesday before picking up steam in the second half of action. The continued momentum was beautiful to see as I mentioned the bulls needed to show some follow through. The run to fresh all-time peaks were lead by the small-caps and another bullish sign.

The Dow advanced 35 points, or 0.2%, to close at 19,251. The blue-chips were weak throughout the first half of trading with the bears pushing a low of 19,184. Support at 19,100-19,000 has now held for 10-straight sessions with a solid floor being formed. The push to 19,255 keeps upper resistance at 19,200-19,350 in play. Continued closes above the latter could lead to a move towards 19,500-19,600 by yearend.

The S&P 500 added 7 points, or 0.3%, to finish at 2,212. The index slipped a couple of points to 2,202 shortly after the open with rising support at 2,200-2,195 holding. A move back below 2,190 would be a bearish development. Resistance at 2,215-2,225 was challenged on the bounce to 2,212 ahead of the closing bell. If the latter is cleared, pencil-in a test to 2,250, possibly, over the next 3-4 weeks.

The Nasdaq gained 24 points, or 0.5%, to settle at 5,333. Tech made a brief trip into negative territory midday to 5,299 with fresh upper support at 5,300-5,275 getting slightly stretched. The turnaround to just below 5,334 into the close was a bullish signal. Near-term resistance remains at 5,350-5,375.

The Russell 2000 surged nearly 15 points, or 1.1%, to end at 1,352. The small-caps tested 1,335 intraday with rising support at 1,330-1,325 trying to be established for the rest of the week. Prior resistance at 1,335-1,340 was blown away following the move to 1,353 and another all-time high.

The S&P 500 Volatility Index ($VIX, 11.79, down 0.35) traded in negative territory for much of the day following a brief look at 12.30 on the opening sluggishness. Short-term resistance has now moved down to 12.50-11.50. Continued closes below 11.50 should get a 10 handle and possibility, single-digits on the map.

Analogic (ALOG), Dave & Buster's Entertainment (DAVE), Sigma Designs (SIGM) announced earnings after Tuesday's close.

Hooker Furniture (HOFT), Lulelemon Athletica (LULU), Star Gas Partners (SGU), United Natural Foods (UNFI) are announcing numbers this morning.