The stock market continues to suggest that the bottom of the correction has already happened. The NASDAQ Composite, S&P 500, and Russell 2000 are extremely close to the resistance areas which if broken will confirm the new uptrend.

The NASDAQ Composite has formed a double bottom formation and a break of 2425 will likely bring the index to 2475, before a test of the 2007 highs. Any pullback from here needs to stay above the 2375 area. A break to the downside of 2330 will suggest that the recent uptrend has only been a correction within the larger downtrend that started last month.

The S&P 500 is in a similar situation. The index has also formed a double bottom and resistance is nearby. A sustained break of 1420 should bring the index to 1440, before a push to 2007 highs. The 1430 area may offer some additional resistance.

The Russell 2000 has advanced further than the other two indices. A break of 800 should bring the index to 820. Current resistance is on the 50 day moving average. A break of 820 will bring the Russell 2000 to 830 at a minimum.

Most likely the correction is over. A sustained break of the nearby resistance in the three indices mentioned above will confirm that the bottom is in.