The bears made a brief attempt at mid-day and managed to push the S&P 500 into negative territory for a few minutes but that triggered some aggressive algorithmic buying and the indices closed near the highs of the day. The bears were overanxious to press some shorts after this relentless rise and the ended up being short squeeze fodder instead.
Breadth was solid with around 4,600 gainers to 2,600 decliners and the number of new 12-month highs is now expanding and hit 158 today. That is still very low for a market that has been so strong for a number of weeks but it's a reflection of how far the indices still are from all-time highs.
Walt Disney (DIS) put up a strong report with an EPS beat of $0.27 and is trading up nicely but Electronic Arts (EA) is a disappointment and is trading down. There aren't many more big earnings reports to come but Disney will keep the bulls happy for now.
Tomorrow it will be interesting to see if the market uses the State of the Union address to justify a move. Overall the market didn't react much to the government shutdown or the "wall" debate but it will focus on any talk about trade. It is very likely that President Trump will make optimistic comments about the progress of negotiations with China but without any details, it won't have much impact.
The indices were overbought this morning and are now more overbought. As I've written often-momentum tends to last longer and go further than you think is reasonable.
Have a good evening. I'll see you tomorrow.