Some will cite a reshuffle in the Dow Jones Industrial Average components for the bullish move. Others will cite global growth once again boosting commodities demand.
By Mid-day today, the market had added on 2.5%. With support at 878 and resistance at 930, the size of the pattern was 52 points. Add that to the breakout level of 930 and we get an upside target of 982 or a 6.8% gains from Friday's close. With Monday's rally already eclipsing the January 6 high of 941, the next resistance level would be November 4 interim peak of 1007. That would be a 9.6% gain from Friday's close and still reasonable. From a long-term perspective it would also be close enough to a key retracement level for the entire bear market.