Nightly Update - COMPQ, CRX, OIH, HUI, IIX, & NUE

The Nasdaq Composite (COMPQ)
On the daily chart, the Nasdaq is completing its wave 3 to 4 correction in the shape of an ascending symmetrical triangle. As previously stated, the Nasdaq had the best gains for the week. It also outperformed the S&P 500 for a change. Today the Nasdaq broke through resistance at 2332.90 on high volume, and is up 1.45% at 2337.78 It looks like we are headed to 2400.00. The RSI is neutral but pointing upwards and the Williams % and PPO and stochastics are now bullish. The Aroon is now trending. In addition, the Nasdaq Composite bullish percent index looks good. It has no bearish divergence whatsoever. This means that the Nasdaq is healthier and that more stocks are going on to hit buy signals and continue on to make new highs.

Commodity Related Equity Index stocks- Morgan Stanley (CRX)- Daily
The top does not look to be in the commodity index. The CRX has completed an ABC correction within a wave (3) to (4) correction. In addition, there is no overlapping which means that there is still strength in the commodity sectors. Metal stocks and Oil stocks are starting to look good again. Since the commodity index has not topped, this indicates that the market top is not yet in. Indicators and oscillators are bullish.

Oil Services Holders ETF (OIH)- daily Chart
The daily chart of the OIH illustrates that it has also completed a wave (3) to (4) / ABC correction. The OIH is now in a bullish ascending triangle pattern, with wave (5) above previous resistance at $158.00. It just had a bullish trend reversal on the Aroon, and indicators and oscillators are also bullish. So far the OIH has not broken the uptrend line around $130.00.

The Gold Bugs Index - Amex (HUI) - Daily Chart
The daily chart of the HUI illustrates that it has completed a wave 3 to 4/ABC pullback to the uptrend line at 278.47. The HUI did not overlap the previous wave (1) to (2 ) high at 250.33. The HUI is now in a bullish ascending triangle pattern, with wave (5) above previous resistance at 349.48. It just had a bullish trend reversal on the Aroon, and indicators and oscillators are also bullish.

The Internet Index (IIX)- Daily chart
As you can see by looking at the daily chart of the IIX, it is forming an ascending triangle. It has completed a wave (3 ) to (4) pullback, and is now reversing upwards. The IIX is in a bullish trend reversal; indicators and oscillators are still bullish. The index is front running the stocks. The following Internets are strong: AKAM, ARBA, FFIV, & CKCM.

Nucor Corp. (NUE) - Daily Chart
The reason I am bringing up the chart of NUE is to discuss the topic of pattern failures in charts. What looks like NUE last year at this point in time. Well, the NASDAQ, the QQQQ's, and the HGX look like the chart of NUE. They are looking like patterns failures. The HGX and the QQQQ charts are both currently looking like a head and shoulders tops, but with the last few days action you can see a reversal to the North showing that the pattern has failed and is now reversing back upwards. Look at the large candle sticks up and the stochastics turning upwards in both charts indicates that this may be a buying opportunity.