The Building Blocks of a Stock Rally

Why signs like diminishing volatility and falling consumer confidence may be signaling a market advance in the months ahead

The major indexes succumbed to some mild profit taking for most of last week after bumping up against the tops of their recent ranges. Since the mid-March lows, most indexes have traced out a series of higher highs and higher lows in a fashion that can be simply described as two small steps forward, one small step backwards.

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