Stocks Can Still Go Higher

11/05/2010 12:01 am EST

Focus: STRATEGIES

Thomas Aspray

, Professional Trader & Analyst

chart
Click to Enlarge

As stocks blasted off to the upside on Thursday, many were still treating the rally with disbelief. In early September, I noted here that the Advance/Decline (A/D) line had broken out to the upside as the new highs in the A/D line in April were a strong indication that the rally from the March 2009 lows was not over. The strong A/D line is still indicating that stocks can move even higher with the next Fibonacci targets for the S&P at 1280 and 1355. The on-balance volume (OBV) broke out in September and has also made new highs. A pullback is likely before Thanksgiving.

Tom Aspray, professional trader and analyst, serves as video content editor for MoneyShow.com. The views expressed here are his own.

  By clicking submit, you agree to our privacy policy & terms of service.

Related Articles on STRATEGIES

Keyword Image
Dow Underdogs for 2019
02/11/2019 5:00 am EST

A favorite strategy of mine is to buy Dow “Underdogs,” the stocks in the Dow Jones Indus...