What a difference a week makes; this time last week we were looking at a declines in the market on Friday and bleeding into Monday. 

Back-to-back gains in the stock market have driven the Dow and other of the major indices to their respective proving grounds technically. 

Big blues earnings yesterday might have served as a catalyst for an earnings rebound. 

The CBOE Volatility Index up above by more than 30% in the course of yesterday’s session. Clearly a shakeup of complacency and fear coming back into the market. 

Some are calling for the market to retreat some 10-20%, but I feel we’re in order for a more garden-variety retreat of 3-5%. 

As 2nd quarter earnings begin to flow in the stock market’s trend seems to be really indecisive and listless, so not a lot of reaction to the earnings so far.

Certainly no research discipline is flawless, but I think when we’re seeing aggressive rotational behavior, I believe the technical analysis can cut through some of that volatility and trading swings. 

Yesterday’s market action might have been a disappointment to those who saw the pullback as the market getting “toppy.” 

2nd quarter earnings season kicking off this morning with several of the marquee companies reporting their earnings and they’re crushing expectations. 

2nd quarter earnings are due to start flowing in this week, and the question may be, “Are the major market indices overbought?”