November peak worked excellent as support

DJ Resistance :  16.588     All-time high
                             16.577     All-time high close
                             16.520

DJ Support       :  16.370     Breakout with small gap
                             16.174     November peak
                             16.058
                             15.700    (Approx. August, September, October peaks)

Technical Analysis :
The Dow Jones Index Average has supported very well at (approx.) DJ16.370. The S&P and NASDAQ have done the same at their equivalent levels.

If DJ stays over resistance DJ16.520, it should attack its all-time high.

The "V Reversal" exactly target is DJ16.662,. I have indicated DJ16.600 on December 11th. and November 26th. as possible goal. We can accept the target reached at this time.

The DJ is in a bullish perspective technically speaking, you can name also "positive construction". That means that the trend is up supported by the clear formation in the charts (daily and hourly). We analyse, we do not predict in the technical analyses. This is rational.  We have to pay attention at its November peak DJ16.174 reaffirmed by its 50 day moving average(DJ16.200) that works as important support (see chart). Below it we should consider a possibly correction with a strong support in the area DJ15.700 - 15.800.

The market is improuving its volume (see chart) as senior traders and investors are coming back to work.

Please click over the chart to enlarge it.

Fundamentals :
The market has positive expectations about 2014 based on encouraging economic news, healthy corporations and banks, besides  more than 10% increase on the home prices, etc. I still have my reserves about the consumption. It does not go along with the good economic news, yet there is some weakness.
We have to take into accout the weak european recovery and the stabilisation of China.
I consider that U.S.A. is going in the correct way. I remember when Germany was the world locomotive at the end of the eighties and the two first years of the nineties. We will see.

Dear traders and investors, my position is to stay long over DJ16.370 in the short term and over DJ15.700 to continue long for the medium term as indicated on december 17th.
I try to assist you in the rational navigation in these markets. No emotional decisions

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

Ulises