All three major indexes closed near session highs and pegged new 52-week highs. The Nasdaq is now about 4% off its October 2007 high, but keep the champagne on ice. The index is 47% off its all-time high in March 2000.
Advancing stocks led decliners by more than 2-to-1 on the Nasdaq and by about 13-to-5 on the NYSE.
Although the market remains in a confirmed uptrend, one area of concern is the market's frothy sentiment. Investors Intelligence reported Wednesday that the 38.2- point difference between bullish investment advisers (57.3%) and bearish advisers (19.1%) was "in the dangerous area."
The contrarian gauge peaked at 62% bulls in October 2007, three weeks before the Nasdaq topped. However, this is a secondary indicator, which means it isn't as reliable as the price and volume action of the indexes themselves.