The indices continued their five-week rally, surging ahead for most of the session, with a mid-day respite.  The afternoon, however, broke out to new 2005 highs and continued strongly higher, and only a late pullback brought them off their highs for the day.

But net on the day the Dow was up 51, the S&P up 6 1/3, and the Nasdaq 100 up nearly 8.  The SOX Index was up 4 1/4.

The technicals were positive by 3 to 2 on advance-declines on New York, but just 16 to 13 on Nasdaq.  Up/down volume  was 2 to 1 positive with a total of more than 1.6 billion traded on New York.  Nasdaq traded about 1.8 billion, with an 11 to 7 plurality there on up/down volume.

TheTechTrader.com board was very actively mixed but mostly higher.  There were several point-plus gainers, led by JAMDAT Mobile (JMDT), up 2.79. 

Other gains of note, Astea International (ATEA), following up on last week's big burst, was up another 1.74.  Dialysis Corp. of America (DCAI) broke out of a consolidation pattern, and ran another 1.21.  Cutera (CUTR) hit a new all-time high this morning at 39.42, closing at 38.85, up 1.07.

Other stocks of note, Biovail (BVF) gained 69 cents, Alloy (ALOY) on terrific earnings up 84 cents, Forward Industries (FORD) snapped back 48 cents, Internet Initiative Japan (IIJI) 40 cents, and Radvision (RVSN) snapped back 60 cents today.

Low-priced Sento (SNTO) was up 77 cents.

On the downside, just fractional losses across the board.  Adstar (ADST) fell 23 cents, and Neoware (NWRE) 34 cents.

Stepping back and reviewing the hourly chart patterns, the indices continued their five-week rally.  The S&P has now advanced from 1170 to 1262, or around 92 points in the last five weeks, and the Nasdaq 100 has advanced from a low of 1515 to a high nearly 1700 today, for a gain of nearly 185 points.

We expect the rally is due for a pullback and rest period and perhaps even some retesting, but momentum is still strong to the upside and has remained the same for the last several days.

Good trading!

Harry Boxer is a technical consultant to many Wall Street hedge funds and large institutional traders, and author of TheTechTrader.com, a real-time diary of his day, swing and intermediate-term trades. For more of Harry Boxer, sign up for a FREE 15-day trial to his Real-Time Technical Trading Diary, or sign up for a Free 30-Day Trial to his Top Charts of the Week service.