Geopolitical still in play but lighter

DJ Resistance:  17,151.57   All-time record high
                            17,130        All-time record closing high
                            16,970        Former breakout
                         
DJ Support:       16,856        50 days moving average
                            16,743        Strong May peak
                            16,588        Strong 2013 peak
                            16,355        Strong
                            16,015        Very strong

Technical Analysis:
The 200 days moving average supported very well last week and the market bounced up. This reconfirms the indicator's importance when it is trending. This support coincided with the year positive trend line, please watch the one year daily chart.
DJ has overcome its 50 days moving average on Tuesday which strengths its perspective to the upside. If the DJ penetrates DJ16,970 (former breakout) it could attempt its all-time record closing high.
The up movement of the S&P and the NASDAQ Composite's breakout doing 14 year high put the market in a bullish way, the DJ is lagging both indexes.
Please click over the chart to enlarge it.

Fundamentals:
DJ corrected about 3% before last bounce up.
The jobless claims increased to 311,000 last Thursday and Walmart announced lower earnings for the rest of the year.
Earnings season is almost gone but the earnings were enough strong to show health in the corporations environment. The 66% of the corporations in the S&P have announced better earnings than analyst's expectation. That shows an evident growth. Corporation's sales are in a good shape because they are higher 4% than a year ago and that explains that the earnings come from them and not from saving costs.
Interest rates are low and there are not inflation's expectations for the short term. For the long term there is not a clear picture after the FED is going to stop buying bonds.
Earnings, low interest and the controlled inflation are fueling the stock prices. I expect an interest rates movement after the FED stops bond buying. That doesn't mean that interest rates are going to increase immediately because wages are not increasing.
Dear traders and investors, we know that American corporations are healthy and are plenty of cash. In the other hand the investors are expecting an increase in the interest rates. We have to watch the interest rates behavior after the FED finishes the bond buying. I am still bullish.

Good luck, viel Glueck, buona fortuna, buena suerte, bonne chance!

Ulises