Morning Report – February 6th, 2014

After a slight gap down opening from the prior day’s close, the NASDAQ Comp managed to rally back to close above the critical support level, which is right around 4000.  The candle formed a Spinning Top indicating uncertainty, but it did close at 75.64% of its daily range.  The index was down .5% for the day, but the candle is more bullish than bearish because of the close near the top of its daily range. Volume was slightly less than on Tuesday which indicates that some of the selling pressure was drying up. The internals paint a less positive picture, but all indicators other than price and volume are lagging. Read Full Report