A Daily Swing Trade

- Dow trades above 11,200 level. The early bullish momentum had faded and the index seemed content to consolidate near session highs for the remainder of the session. By the close, the Dow had retained the majority of its early gains and closed with a solid 119 point gain.

- The NASDAQ and S&P each displayed notable strength in early trading. As a result, both indexes are trading in close proximity to potential resistance area. The manner in which the indexes interact with these levels will likely provided an early indication of future bias

Summary

The Dow closed today's session strongly, trading firmly above its 11,200 resistance level. This is indeed a bullish development and may open the way for an advance back toward May highs. However, considering the magnitude of recent gains, we may witness a period consolidation and/or retracement as the index gears up for it its next advance or decline.