Indices Rally Off Lows to Close Near Even

The stock market indices started off the week with an interesting day today. The day started out with a big gap to the downside, but within minutes reversed and rallied back sharply. They then pulled back to retest, rallied back up to test the highs again, but couldn't get through, and then formed large wedges. They didn't roll over, but rather broke through and went up to secondary resistance. They backed and filled for most of the afternoon, and came on in the last few minutes to close not far off the highs, but still down on the day.

Net on the day, the Dow was down just 17.03 at 12,845.20, but that was about .52 off the low. The S&P 500 closed at 1344.33, up .57, and within pennies of the highs and 7 points off the low. Nasdaq 100 closed right at the highs for the day, down .87 at 2528.30, and 15 points off its low.

Apple Inc. (AAPL) had another new all-time high today, up 4.29 to 463.97, reaching as high as 464.98 today. Netflix, Inc. (NFLX) was up 2.82 to 129.25.

Those were disappointing today.

Stepping back and reviewing the hourly chart patterns, the indices, even with a big gap down at the opening, especially on the NDX, rallied back in a 5-wave, stair-step fashion until midday, and then consolidated the rest of the day before a late flurry brought them to near even on the indices and way off the lows for the day.