Not Yet Convinced

As long as the small caps, financials and other sectors do not participate in this rally, I will remain unconvinced that the latest breakout is for real. While the Qs broke out to new rally highs today, volume was 23% less than at the October 21 high. Volume on the Dow30 and SP500 also contracted as the Dow came within 8 points of the 50% retracement level of 10350. However, the rally may last one to two more days before some sort of pullback or correction.