Broken Patterns Abound

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Well, here we go again. An all-too-brief selloff (parts of May and June) followed by a lurch to new recovery highs. Incredible.

There are broken formerly-bearish patterns all over the place. The head and shoulders on the NASDAQ, for instance, is history:

0707-nasdaq

The Dow 30 is starting to meet the highest reaches of what I would consider the "tolerance point" for any bearish argument.

0707-indu

Of course, with the big jobs numbers coming out in the morning, a bit of uncertainty is still in the air. I'm keeping plenty of cash in my account in the interest of caution.