DOW Levels

The DOW is just a few points away now from kissing the 200MA which lurks just overhead at 13,053. It saw 13,000 territory today for the first time since taking the elevator through it in early January.

The short term uptrend is very much intact and also has plenty of room for a healthy pull back if it decides it needs to take a breather before heading up a little further.

The chart is looking overbought, but as long as buyers keep stepping in at these pull back areas it could continue to do this for a while. It seems more likely to chop here for a while, but so often the obvious is ignored by the market -- that's what makes using any kind of logic in trading very difficult. Better to treat each day as random and keep nimble.

Up until today there has been a battle between the Intermediate downtrend and the shorter term uptrend. The bulls seem to be staking claim for the victory today with convincing volume.

DOW Daily Chart: