Piker Trader

Here is a chart of NYAD, this is the advance/decline line.  The NYAD has been in a  strong uptrend since March, giving validation to the rally. Not that the market didn't need more validation it was getting enough from anyone who can ramble on about a "recovery". 

Today the NYAD was supported by the 8 day EMA this has been a key support moving average since the rally began.  NYAD has been consolidating in this area for the last couple of days.  The bulls will need another up day for this support to hold or the next support is the 19 EMA.  Notice how the distance between the 8, 19 and 39 EMAs. Past declines during this rally have started with the EMAs being wide apart. 

NYAD needs to keep advancing to maintain NYSI movement above 1000 and more importantly 0.  Here is a continuation of a NYSI chart I posted early.  Notice the pattern in this chart?

If NYSI drops because of a NYAD drop, the market could see a move back down to the 1100 level or lower.  But the bulls have been able to defend any charge by the bears.  The bears need for NYAD to break past its 8 day EMA and to break at least one key support level, which currently is the 1130 level. 

The trend is still up and if the market is going to turn or correct, NYAD will drop further.