Blue Chips Breaking Out

The NASDAQ continues to carve out a bottom, the Dow and S&P threaten to make new weekly highs and the semiconductors continue to threaten a new leg up after spending the last 12 weeks consolidating support above breakout levels. At this point we don't have an opinion about how strong the run will be, but the market is certainly behaving very bullishly here. What we do know is that if the blue chips can close above weekly highs this week and the tech sector makes a move out off of support, we are going to have a very nice group of solid trade set ups that offer a good balance between risk and reward. Be patient here because the market is setting up very nicely.