Here is a chart of the SP500 showing the Advance/Decline line is confirming the upward trend as the index and the A/D line both trending higher. The caution sign for the SP500 is the lack of expansion on the number of new high as the market is getting close to the 52 week high. This uptrend could come to an end unless the number of new high starts to expand.
For the Nasdaq, the caution sign is more concerning. Not only the number of new high is not expanding as this index is approaching to breach the 52 week high, the A/D line is showing a negative divergence.
Until these technical cautions have been resolved, tighten up the stops and be patient on buying dips.
