Large Rally Could Mean Absolutely Nothing

The markets did jump nicely yesterday, but does it really mean anything? Could this just be a bounce, or is this the beginning of a new bull run? According to the charts, the rally could mean absolutely nothing. Take a look at it for yourselves.

Dow Industrial Average

Using the same retracement as in the past, it is quite clear that the market is just moving within the current trading zone. There was really no significant point being broke (at least in this time frame).

S&P

As you can see, pretty much the same conclusion as with the Industrial Average.

Conclusion

So before we get all excited, lets remember there are still ton of problems that need to tended to, and a big drop is probably right around the corner.