document: The Week Ahead : Buy Stocks , Not The Market The relentless nature of the rally from the March 16 lows has many market veterans scratching their heads . The market is clearly overdue for the setback I was looking for last week . Attempts by fund managers to goose their quarterly numbers likely played a role in the rally into the end of the month , while the very good jobs numbers boosted stocks even higher on Friday . One of the more surprising developments last week was the surge in small-cap stocks , as the Russell 2000 moved above the February highs on Thursday . This is very positive if the S&P 500 and Nasdaq Composite can also surpass their February peaks , as the Dow Industrials did on Friday . The chart of the iShares Russell 2000 -LRB- IWM -RRB- shows the completion of the trading range -LRB- lines a and b -RRB- with upside targets at $ 85.50 and then $ 87 : Click to Enlarge The week ahead will be a quiet one in terms of economic reports , with the ISM Non-Manufacturing Index on Tuesday that gives us a reading on the health of the economy , followed by jobless claims Thursday . The EIA 's latest petroleum-inventory report will be released Wednesday , but more important for crude oil will be any new developments in Libya . If Gaddafi were to step down it would dampen the rally in crude oil prices . WHAT TO WATCH S&P 500 The monthly chart of the Spyder Trust -LRB- SPY -RRB- shows that the next major resistance stands at $ 141 to $ 145 . The lower monthly close for SPY has caused its momentum , which had been rising since the end of September , to flatten out . Therefore a higher close in April is needed to keep the momentum from turning lower , as it did in May 2010 . The NYSE advance/decline line has surpassed its February highs , which is positive for stocks in general . There is initial support for SPY at $ 131.50 and then at $ 130.40 . The $ 128.30 level should hold on a deeper pullback . Dow Industrials The Diamonds Trust -LRB- DIA -RRB- surpassed the February highs Friday at $ 123.64 , and has next resistance at $ 124.80 and then $ 128.50 to $ 129 . Strong action last week leaves first support at $ 122.50 to $ 121.60 , with much stronger levels in the $ 120.50 area . Sector Focus It was a tough quarter for stock pickers unless you were in the energy sector . As I noted in Friday 's article , only the Energy Select Spyder -LRB- XLE -RRB- and the Industrial Select Spyder -LRB- XLI -RRB- were able to outperform the S&P 500 in the first quarter . This is quite unusual , as more often there are three or four sectors that outperform the S&P 500 . Typically stocks are not as strong in the second quarter , leading to the well-worn phrase `` sell in May and go away . '' More Sector Focus
extractive_keyphrases: market veterans relentless setback heads february overdue trading numbers boosted deeper chart completion russell gaddafi market march higher stock thursday trust resistance support quiet health advancedecline tuesday september quite unusual dampen smallcap petroleuminventory report energy sector nonmanufacturing index new article week sector good enlarge close wellworn turning lower fund stronger momentum economy outperform economic often crude surprising typically important surpass quarterly
abstractive_keyphrases: week ahead buy stocks not relentless nature deeper pullback initial support trading range next major resistance