IT'S NOT YOUR GRANDPA'S GREAT DEPRESSION:

Troops Are at the Border: The major indexes have rallied back to near or slightly above their recent ranges and look poised to break out (Mark Arbeter, 4/21/08, Standard & Poor's Equity Research Investing)

The major indices rallied sharply on Wednesday and Friday, proving that there are other good days in the stock market besides Tuesday. The S&P 500, DJIA, Nasdaq, S&P MidCap 400, and S&P SmallCap 600 all ran up near or slightly above the tops of their respective trading ranges that have been in place since the middle of January. In other words, they are knocking at the breakout door once again, and prices appear like they want to see some different territory for a change.

The potential reversal formations that the indices are working on has gone from looking very sloppy to fairly constructive and symmetrical, a bullish sign, in our view.