The past two weeks pushed the DJI and S&P 500 strongly up by breaking all historical highs. On many time-frames, because of the past 2-week strong up move, many technical indicators are strongly bullish. Below you may see 10-year DJI volume chart (1 bar = 10 days). source: http://www.marketvolume.com/charts/ To understand better whether DJI may move higher, we take a look at the stocks listed in the DOW index. Below you may see 30 charts of the DOW listed stocks divided in three groups.
9 long-term bullish stocks Verizon (VZ) The Travelers Company (TRW) Coca-Cola (KO) Johnson & Johnson (JNJ) Home Depot (HD) General Electric (GE) 3M (MMM) Visa (V) United Health Group (UNH)
11 Recovering stocks United Technologies (UTX) Pfizer (PFE) Procter & Gamble (PG) Chevron (CVX) Intel (INTC) IBM (IBM) Exxon Mobil (XOM) Sisco Systems (CSCO) Caterpillar (CAT) Wal-Mart (WMT) Merck (MRK) charts courtesy of http://www.marketvolume.com
10 weak stocks Microsoft (MSFT) Goldman Sachs (GS) JP Morgan Chase (JPM) EI DU PONT DE NEMOURS (DD) Nike (NKE) Apple (AAPL) McDonald's (MCD) Disney (DIS) American Express (AXP) The Boeing (BA) charts courtesy of http://www.marketvolume.com
Summary In summary, we have 9 strongly bullish Stocks, 11 recovering stocks and 10 weak stocks. As of now, most of these stocks either in short- or mid-term up-move and they are pushing the DJI index up. If 11 recovering stocks will continue their recovery further, then 2/3 of DOW stocks as a pushing force to continue pushing DOW to new highs. If not , we could be looking for another months of the side-way range trading.