Thank you FED

DJ Resistance:    16.766     Al-time high close
                              16.520     Resisted four attemps
                              16.250
                              16.092     50 days moving average

DJ Support:          15.943
                              15.700     Strong (battlefield)
                              15.445     200 days moving average
                              15.345     Last week low
                              15.100
                              14.760     Strong (old range 14.760-15.721)

The bulls took the reins again with a sharp rally from the lows.
The Dow Jones Industrial Average rallied significantly in the last four sessions exceeding the stabilization limit level DJ15.721 and pointing up with an acceptable volume but not as it was in the downdraft. Not only that, also exceeded DJ15.943 light resistance.

DJ15.700 is the bulls-bears battleground. The bulls prevailed over the bears this time conversely to last weak.

Possibly we are facing a bullish sharp "V" reversal atop DJ15.721. There is not confirmation at this moment but "V" could be forming, please watch the daily chart.

NASDAQ turned positive for 2014 as far. Neither DJIA nor S&P are positive this year.

DJ is over 200 days moving averages which is very positive for bulls especially as 200 days moving average demonstrated strong support last weak. Traders and investors consider the 200 days moving average as an indicator for the long term market trend.

Dow Jones Industrial Average is still in a bull market. It has to stabilize over DJ15.700 and 200 days moving average. Technical analysis points out for the long side at this moment. DJ16.520 should be a target and there we are going to realize if new highs.

Please click over the chart to enlarge it.

Fundamentals:
I believe that the American economy is on the path of growth to 2014 and 2015. It is very important to make it over the 3% per year so reactive consumption.
The ghost of the debt ceiling is transferred to 2015. One obstacle less to strengthen the economy, the Executive has no excuse to not work on the economic recovery, is there where it must concentrate and look for job creation.

Ms. Janet Yellen, Federal Reserve Chairwoman, announced her commitment to maintain low interest rates and to use bond buying or taper to stimulate the economy. Thank you very much FED! we owe today's extraordinary rally.

Late February and March are usually loose for the stock market, no more earnings seasson. These week and next one we will see important economic news that should act as catalysts for the market. It is in positive mood and I expect stabilization. I prefer the long side over DJ15.700.

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

Ulises