The Dow was up 2 points to 17789. The S&P 500 added 2 points to 2099 and the Nasdaq Composite gained 4 points to 4952. The volume totals were reported lighter on the NYSE and on the Nasdaq exchange versus the prior session. Breadth was positive as advancers led decliners by nearly 2-1 on the NYSE and 3-2 on the Nasdaq exchange. There were 48 high-ranked companies from the Leaders List made new 52-week highs and were listed on the BreakOuts Page, down from the total of 57 on the prior session. New 52-highs solidly outnumbered new 52-week lows on both the NYSE and Nasdaq exchanges.

Charts used courtesy of www.stockcharts.com

PICTURED: The Dow Jones Industrial Average is consolidating near its 50-day moving average (DMA) line. 

The market's confirmed uptrend (M criteria) continues as stocks overcame recent pressure. The Dow Jones Industrial Average,S&P 500 Index and the Nasdaq Composite Index have all rebounded above their 50 DMA lines, respectively. Leadership recently improved as more stocks hit new highs. Although very few issues have appeared to meet the fact-based investment system's guidelines or made meaningful headway in recent weeks, the latest expansion in leadership is a reassuring sign. The Featured Stocks Page includes current notes with headline links for access to more detailed letter-by-letter analysis including price/volume graphs annotated by our experts.

The major averages erased a morning retreat amid a flurry of positive updates on the economy. On the data front, the ISM’s survey of U.S. manufacturing expanded at faster pace to 51.3 in May, above expectations of 50.3 and last month’s 50.8 reading. In a separate report, Markit’s US manufacturing survey yielded a 50.7 reading. The Fed’s Beige Book release showed there was modest economic growth since mid-April, as tight labor markets pushed up wages.

Seven of 10 sectors in the S&P 500 advanced on the session. Consumer Staples shares outperformed while Telecom stocks lagged. Michael Kors (KORS +6.62%) rose as the retailer’s revenue rose 10.9% on increased demand for its handbags. In M&A news, Demandware (DWRE +55.89%) surged on agreeing to a $2.8 billion takeover offer from Salesforce.com (CRM -0.31%). Whole Foods (WFM +4.91%) rose after receiving positive analyst commentary. Under Armour (UA -3.92%) fell as the retailer reduced its full-year guidance.

Treasuries were mixed with the benchmark 10-year note up 1/32 to 1.84%. In commodities, NYMEX WTI crude ticked 0.2% higher to $49.18/barrel. COMEX gold was off 0.2% to $1211.90/ounce. In FOREX, the dollar tumbled 1.1% against the yen.

The Broker/Dealer Index ($XBD +0.49%) and the Bank Index ($BKX +0.36%) both edged higher on Wednesday while the Retail Index ($RLX -0.17%) ended the session with a small loss. The tech sector had a slightly bullish bias as the Biotechnology Index ($BTK +0.52%), Semiconductor Index ($SOX +0.56%) and Networking Index ($NWX +0.20%) each edged higher.  The Oil Services Index ($OSX -0.82%) fell while the Integrated Oil Index ($XOI +0.23%) eked out a small gain. The Gold & Silver Index ($XAU -0.18%) ended slightly lower.

Charts courtesy www.stockcharts.com

Color Codes Explained :
Y - Better candidates highlighted by our staff of experts.
G - Previously featured in past reports as yellow but may no longer be buyable under the guidelines.

***Last / Change / Volume data in this table is the closing quote data***

Symbol/Exchange Company Name Industry Group	PRICE	CHANGE (%Change)	Day High	Volume (% DAV) (% 50 day avg vol)	52 Wk Hi % From Hi	Featured Date	Price Featured	Pivot Featured
								Max Buy
TDG - NYSE Transdigm Group Inc AEROSPACE/DEFENSE - Aerospace/Defense Products and; Services	$266.09	+2.55 0.97%	$267.39	1,803,616 307.78% of 50 DAV 50 DAV is 586,000	$265.87 0.08%	5/11/2016	$248.33	PP = $245.00
								MB = $257.25
Most Recent Note - 6/1/2016 12:45:35 PM G - Surging further into new high territory with another volume-driven gain today following a gap up on the prior session. Rallying well above its "max buy" level. Disciplined investors avoid chasing extended stocks. Bullish action has continued since highlighted in yellow in the 5/11/16 mid-day report (read here). >>> FEATURED STOCK ARTICLE : Getting Extended From Prior Base After More Volume-Driven Gains - 6/1/2016  |  View all notes | Set NEW NOTE alert | Company Profile | SEC News | Chart | Request a new note C A  S  I
CSFL - NASDAQ Centerstate Banks Inc Banks-Southeast	$15.68	-0.14 -0.88%	$15.77	255,039 165.61% of 50 DAV 50 DAV is 154,000	$16.59 -5.49%	5/27/2016	$15.80	PP = $16.69
								MB = $17.52
Most Recent Note - 6/1/2016 3:56:05 PM Y - Consolidating above its 50 DMA line ($15.51) since highlighted in yellow with pivot point cited based on its 4/27/16 high plus 10 cents. Subsequent volume-driven gains for new highs are needed to trigger a proper technical buy signal before action may be justified under the fact-based investment system. >>> FEATURED STOCK ARTICLE : Forming Ideal Base and Fundamentals Are Favorable - 5/27/2016  |  View all notes | Set NEW NOTE alert | Company Profile | SEC News | Chart | Request a new note C A  S  I
MXL - NYSE Maxlinear Inc Cl A Telecom-Infrastructure	$20.91	+0.19 0.92%	$20.94	989,519 72.71% of 50 DAV 50 DAV is 1,361,000	$20.75 0.80%	5/16/2016	$19.24	PP = $19.20
								MB = $20.16
Most Recent Note - 6/1/2016 3:56:41 PM G - Inching higher for another new high with below average volume behind today's gain. Disciplined investors avoid chasing extended stocks too far above prior highs. Prior highs near $19 define initial support to watch on pullbacks. >>> FEATURED STOCK ARTICLE : Rebounded Above 50-Day Average Following Strong Earnings News - 5/12/2016  |  View all notes | Set NEW NOTE alert | Company Profile | SEC News | Chart | Request a new note C A  S  I
PATK - NASDAQ Patrick Industries Inc WHOLESALE - Building Materials Wholesale	$53.85	+0.42 0.79%	$54.09	109,761 78.40% of 50 DAV 50 DAV is 140,000	$53.77 0.15%	5/24/2016	$53.45	PP = $50.68
								MB = $53.21
Most Recent Note - 6/1/2016 3:53:28 PM G - Hit another new 52-week high today with light volume behind recent gains while wedging further above its "max buy" level. Disciplined investors avoid chasing extended stocks. Prior highs define near term support in the $50 area. >>> FEATURED STOCK ARTICLE : Solid Volume-Driven Gain Into New High Territory - 5/24/2016  |  View all notes | Set NEW NOTE alert | Company Profile | SEC News | Chart | Request a new note C A  S  I
NVEE - NASDAQ N V 5 Global Inc Comml Svcs-Consulting	$30.08	+2.83 10.39%	$30.21	414,073 422.52% of 50 DAV 50 DAV is 98,000	$29.30 2.66%	4/19/2016	$28.20	PP = $28.10
								MB = $29.51
Most Recent Note - 6/1/2016 3:52:06 PM G - Color code is changed to green after rallying above its "max buy" level and hitting a new 52-week high with today's volume-driven gain. Found support near its 50 DMA line. Completed a new Public Offering on 5/13/16. Members were cautioned - "Such offerings often hinder near-term price progress yet help companies to attract more institutional owners (I criteria)." See the latest FSU analysis for more details and an annotated graph. >>> FEATURED STOCK ARTICLE : Consolidating Near Highs After Completing New Public Offering - 5/31/2016  |  View all notes | Set NEW NOTE alert | Company Profile | SEC News | Chart | Request a new note C A  S  I
Symbol/Exchange Company Name Industry Group	PRICE	CHANGE (%Change)	Day High	Volume (% DAV) (% 50 day avg vol)	52 Wk Hi % From Hi	Featured Date	Price Featured	Pivot Featured
								Max Buy