Further to my last weekly market update, here is a summary of where money flow ended for Week 5 of March 2012.
The Weekly charts below of YM, ES, NQ & TF show that YM, ES & NQ made a higher close and TF made a slightly lower close than the prior week. The uptrending channel is still holding as support and direction for the Weekly timeframe…although the TF closed on the lower channel…one to watch, again, for potential developing weakness.
I'll reiterate what I said in my last weekly market update…if the Major Indices are going to continue a convincing rally from here, it will be important for the Russell 2000 to break (convincingly) and hold above its February highs to provide added fuel. A failed breakout could lead to the onset of weakness, not only in this index, but also in the others.