Breakout likely paves the way for Advance into mid-May

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Thursday’s reversal looks important technically as a bullish development which can carry US Equity markets higher into the middle part of May.   While some might question the viability of this week as being a breakout, a weekly close above SPX-4137.63 represents the highest weekly close since last Fall. 

Furthermore, QQQ has also closed at the highest levels since last August.  While Technology has some work to do to recover some of the damage it’s experienced in recent weeks, Large-Cap Technology can still pave the way for the next couple weeks.

Healthcare, Discretionary and Energy also look like sectors which can show above-average performance into the month of May.  Healthcare in particular which broke out last week relatively speaking to the SPX, is heading into a very seasonally bullish time.

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