I’m trading one type of channel for another this week. As you read this, I’ll be fishing on Lake Powell in southern Utah. It’s been a long winter and I’m looking forward to the warm desert air, the sunshine and the red rocks. An if we can catch a mess of fish, so much the better.

This will be an abbreviated report, because there isn’t really much new to say. The strongest sectors continue to be energy, gold and select international positions. I’m going to include at the bottom a complete list of exchange traded funds and their performance over the past three months. Scan through them and you will see what I mean. So far there is no indication of a break in that pattern.

When it comes to the U.S. equity markets, major indices continue to trade in relatively tight channels. The Nasdaq is currently at the bottom of its channel, while the S&P 500 and the Dow have not retreated as much and are still trading in the upper ranges of their price channels. I’ve included a chart that shows the Nasdaq as the black line with the S&P 500 (gold line) added for comparison.

I think there are too many market positives for the Nasdaq to break down below support at this time, so I would anticipate a rebound from this level. If that occurs, we are likely to see new multi-year highs for the S&P 500 and the Dow. But they will likely be just slightly higher than previous marks.

I don’t anticipate thinking about the investments markets much at all until next week. I hope your weekend is as enjoyable as mine.