Markets enjoyed their best weeks in more than a year, as both the Nasdaq and S&P 500 rose more than 4.5%. You can make the case that the S&P 500 broke out of a double bottom with handle base just above the 1448 level 1/2. The Nasdaq looks mighty impressive as it tightly digests its own 3% bullish gap up that same day. More breakouts came Friday as HUN CBOE took out flat base triggers of 17.27 and 31.05 respectively. AGO took out a 14.90 double bottom with handle trigger as well. Some bigger names like UNP took out a 129.37 flat base trigger on soft trade, but can confirm the breakout in the coming days, potentially mirroring the moves of LCC KSU. LCC took out a cup with handle trigger of 13.85 on 1/2, and volume confirmation came Friday. KSU took out a double bottom with handle trigger 1/2 also, with volume validation coming the next day. Looking back on the spectacular week, the group that impressed me the most were the financials. Rarely will bull markets exist without their participation. XLF had a banner week rising almost 5.5% to levels not seen since February 2011. BK recorded a very bullish reaction Friday to a downgrade, registering an outside day and rising almost 3%. ZION took out a 22.03 cup with handle pivot, and GS JPM are now resting at fresh 52 week highs. AB took out a short flat base trigger Friday as well at 18.39. Will the market continue to deposit gains, pun intended in 2013? A look back at the first week of trading for the Nasdaq going back 3 years, shows gains in 2010 of 2.12%, 2011 1.9%, 2012 2.65%. Markets yearly gains in those corresponding years were 17%, -2%, 16%.
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