Another Triple Digit Gain
Materials and energy stocks were among the best performers on Wednesday with respective gains of 4.2% and 3.3%. The market climbed steadily throughout the session with the Dow Jones Industrial Average ($DJI) logging another triple digit gain. The 15 minute 20 period moving average served as a guide for support in the Dow and S&P 500 ($SPX) throughout most of the session.
A modest two-wave correction on the five minute time frame took place mid-day coming out of the 11:00 a.m. ET correction period into nearly 13:00 ET. This offered a great opportunity for market participants to catch the afternoon buying with strong intraday setups in numerous issues. The light volume that took place as the market pulled back helped support further afternoon upside. The slower pace of the correction compared to earlier buying was another indication of underlying strength, albeit still modest in comparison to Tuesday afternoon. The session ended just shy of the day's highs.