I believe what we are enduring is a simple case of weak holders bailing out, of momentum riders locking in profits for fear of riding their positions back down to breakeven or losses.

Stocks were able to leverage some optimistic news and dovish words from the Fed to take another stab at an upside breakout attempt last week.

Today we'll be seeing the 50-day moving averages on the Dow, the NYSE and the Russell all tested at the same time – what happens next will tell us a lot about this rally.

Sep E-mini S&Ps (ESU14 +0.18%) this morning are trading slightly higher by +0.18% on support from today's +0.63% rally in the Euro Stoxx 50 index and a further +0.2% upward rebound in Russian stocks.

In this weekly update, I give my view of the current market environment, offer a technical analysis of the S&P 500 chart, review our weekly fundamentals-based SectorCast rankings of the ten U.S. business sectors, and then offer up some actionable trading ideas...

September E-mini S&Ps (ESU14 +0.06%) this morning are unchanged and European stocks are up +0.14% ahead of the minutes of the Jun 17-18 FOMC meeting.