A few indices like the SPX and DAX have poked their heads above major resistance, but the majority are still being held back with key examples being the TRAN, RUT, NDX, FTSE, BSE and DOW (see previous postings for specific, in depth analysis on the DOW, the multi-year broadening pattern leader).
Even the "dogs" like the MIB, IBEX and CAC that have broken intermediate term downtrends are running into major overhead ... and it wouldn't be surprising to see a backtest of those broken downtrends, would it?
Things look more like a counter trend rally locked inside a long term falling wedge on the AEX and STOX50.
The AORD out in Asia resembles the AEX, STOX50 in its 50% retrace characteristics.
We have clear downward wedging on the NIKK coupled with a couple of "blowout" bearish shooting stars sandwiching a long legged hanged man.
There is support to be found on some charts, just not equity charts though. I'm thinking about bonds as seen here in TLT.
It's very clear where price is relative to long term support and resistance by any and every gauge of the concept, and while breakouts higher are possible, at the end of the day the risk/reward assessment for those possible breakouts higher corresponds to you. Personally, I seriously question the viability of a breakout long trade that is anything other than a day trade, and, for obvious reasons, I have quite another opinion entirely regarding exiting all longs and even shorting. Either way, and regardless of how you trade them, the setups themselves are crystal clear.