February 05, 2013- Markets Rebound Closing at 52 Week Resistance

After moving sharply lower over the course of the previous session, stocks showed a strong move back to the upside during trading on Tuesday. The gains nearly offset Monday's losses, although the major averages remained below last Friday's closing highs. The major averages pulled back off their best levels going into the close but remained firmly in positive territory. The Dow rose 99.22 points or 0.7 percent to 13,979.30, the Nasdaq jumped 40.41 points or 1.3 percent to 3,171.58 and the S&P 500 surged up 15.58 points or 1 percent to 1,511.29. The rebound by stocks came as some traders saw the sharp pullback that was seen on Monday as an opportunity to get into the markets following the recent rally. Buying interest was also generated by a private survey showing that growth in China's services sector hit a four-month high in January. The survey by HSBC and Markit Economics showed that the index of Chinese service sector activity rose to 54.0 in January from 51.7 in December, with a reading above 50 indicating growth.