The indices had a generally positive day with a negatively diverging Dow Jones today, but the day started out with a move up after the opening with some early volatility back and forth.  Then, after testing NDX 1600 and SPX 1234 resistance, they backed off rather sharply in the morning, retested yesterday's lows on the Nasdaq 100 and held it, a little bit above it on the S&P, holding the 5-6 day trendline.  They then had a move up after the lunch hour in the afternoon that took the NDX to new session highs..  The S&P, however, could not cooperate and only made a nominal new high before turning down.

In the last hour the indices backed off and pulled back into the close, closing down 16.71 on the Dow but up 2.13 on the S&P and 5.36 on the NDX.  The SOX was up 4.87, or more than 1 percent, which helped the Nasdaq today.

Advance/declines were positive by 3 to 2 on New York and a little less than that on Nasdaq.  Up/down volume was 4 to 3 positive on New York with over 1.4 billion traded.  Nasdaq traded more than 1.55 billion with nearly a 2 to 1 positive ratio on up/down volume

So it was generally a positive day technically, and most of the indices were up except for the Dow today.

TheTechTrader.com board was mixed.  There were a couple strong issues today.  Netflix (NFLX) on tremendous earnings soared as much as 3.80, but backed off, closing up 2.05 on 11 3/4 million shares. 

Spire Corp (SPIR) snapped back with a vengeance today, up 1.82 on 4 1/2 million shares.

Millennium Pharmaceuticals (MLNM) had a terrific day, closing at the high for the day going away, up 85 cents on nearly 15 million shares.  Kendle International (KNDL) was up 68 cents, Vertex Pharmaceuticals (VRTX) up 57 cents, and Forward Industries (FORD) up 47 cents.

In the alternative energy sector, Energy Conversion Devices (ENER) was up 33 cents, Fuelcell Energy (FCEL) 26 cents and Evergreen Solar (ESLR) 14 cents.

On the downside, Able Energy (ABLE) gave back 85 cents.   SYNERGX Systems (SYNX), which had a big day yesterday, gave back 80 cents today.  And Medicore (MDKI) dropped 69 cents.

Reviewing the hourly chart patterns, the indices have been bouncing along their rising 40-day moving averages on the 60-minute charts and have managed to hold the last couple days.

Right now the indices are in a key testing mode.  If key support at around 1590-91 on the NDX is taken out and a similar level around the 1226-27 zone on the S&P, we may break the back of the trend, but so far the momentum and trend are still intact to the upside.

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.