Stocks are in a significant territory which can move the rally up another 200 or so points higher on the Dow.
The 60-minute chart is suggesting that equities could move on to capture 12,588, the level from the October. The concerning thing is that the momentum trend line is diverging from the price movement on this chart, suggesting that eventually there will an end to this strong move higher and a sell-off-phase could begin.
With banks and housing names clocking strong gains the break-out towards 13,588 looks very probable by the end of the week. BAC, C and LEN look the best in this group.
EBAY and Visa (V) look most attractive on any pullback.
