Resistance of last month's "swing highs" in most of the major indices triggered a broad-based round of selling Thursday.

If all the indices get in sync with each other by breaking out above their recent consolidations, as well as their 50-day MAs, it could certainly change the overall bias of the stock market to a decidedly more bullish one.

Deron Wagner is now beginning to see relative strength and breakouts in the pharmaceutical and healthcare industries.

The charts of half a dozen commodity ETFs tell Deron Wagner that their intermediate-term corrections may be turning into significant, long-term tops.

The main stock market indexes have now formed clearly defined "swing lows" and "swing highs" within the broad market's developing intermediate-term uptrend.

The most notable sector action Thursday was the strong performance of the AMEX Biotechnology Index ($BTK). Most industries closed lower, and none of the major sectors, outside of the $BTK, gained more than 0.5% yesterday.

Deron Wagner thinks bullish momentum should keep the solar energy sector in play, at least in the short-term, and possibly the intermediate-term, but the strongest sector in the market right now is the biotechs.

The short-term view still gives mixed signals. However, if long anything, Deron Wagner writes, small caps are where it's at. The small-cap market segment is clearly leading the way higher. It should continue to do so as the major indices attempt to rally back to test their July highs.

The major indices are still holding well above their July lows, but are not in a hurry to move higher. Deron Wagner is content with having a neutral bias on the short-term.

The near-term trends could be choppy and indecisive, which is why Deron Wagner remains neutral. As for the intermediate-term, it's looking more and more likely that the major indices will not be violating their July lows anytime soon.