The weekly charts for the Dow Jones Industrial Average (INDU) , S&P 500 , Nasdaq Composite (NDAQ) , Dow Transports and the Russell 2000 have positive but overbought weekly charts. All-time intraday highs were set on Friday at 19,999.63 for the Dow 30, 2,282.10 for the S&P 500, 5,536.52 for Nasdaq and 5,020.70 for the Nasdaq 100. Dow Transports and Russell 2000 lag, setting their all-time intraday highs of 9,490.29 and 1,392.71, respectively, on Friday Dec. 9.

In rounded numbers, Friday's high of 19,999.63 for the Dow 30 is a failed test of Dow 20,000.

Here's the risk/reward by the key levels:

The Dow Jones Industrial Average set its all-time intraday high of 19,999.63 on Jan. 6. (If you round it to the closest number, the Dow tested 20,000.) Monthly and quarterly value levels are 19,482 and 18,300, respectively, with semiannual risky levels at 20,893 and 22,148 and with an annual risky level in-between at 22,041. My annual value level is 15,111, which is 24% below 20,000.

The S&P 500 set its all-time intraday high of 2,282.10 on Jan. 6. My quarterly value level is 2,141.2 with a monthly pivot of 2,270.5, and semiannual risky levels of 2,492.4 and 2,608.9 with an annual risky level in-between at 2,537.9. My annual value level is 1,676.1 is 26% below the high.

The Nasdaq set its all-time intraday high of 5,536.52 on Jan. 6. My quarterly value level is 5,335 with a monthly risky level of 5,619. Semiannual risky levels are 5,946 and 6,387 with an annual risky level in-between at 6,253. My annual value level is 4,331 is 22% below the high.

Dow Transports set its all-time intraday high of 9,490.29 on Dec. 9. My monthly value level is 8,621 with a semiannual risk levels of 9,980 and 10,713, with an annual risky level in-between at 10,167. Annual and quarterly value levels are 7,910 and 7,243, respectively, which is a maximum decline of 24%.

The Russell 2000 set all-time intraday high of 1,392.71 on Dec. 9. My quarterly value level is 1,234.21 with a monthly pivot at 1,367.34 and semiannual risky levels of 1,487.52 and 1,549.50, with my annual risky level of 1,548.95. My annual value level is 1,091.77 is 22% below the high.

Here's how to trade these markets using the exchange-traded funds that track them.

Here's the weekly chart for the SPDR Dow Jones Industrial Average ETF (DIA) , aka Diamonds.

 

Courtesy of MetaStock Xenith

Diamonds trade at close to $200, up 1% in the first week of 2017. No new high as the all-time intraday high of $199.83 was set on Dec. 14 and matched on Jan. 6. This ETF is in bull market territory 29.2% above its Jan. 20, 2016 low of $154.38.

The weekly chart for Diamonds is positive but overbought with the ETF above its key weekly moving average of $194.63 and well above its 200-week simple moving average of $169.76. The weekly momentum reading rose to 91.89 last week up from 90.52 on Dec. 30, moving further above the overbought threshold of 80.00.

Investors looking to buy Diamonds should do so on weakness to $194.66, which is a key level on technical charts until the end of January. A lower value level is $182.90, in play until the end of March. Investors looking to reduce holdings should do so on strength to $203.30 and $208.59, which are key levels on technical charts until the end of this week, and the end of June, respectively.

My annual value level lags at $150.83 with annual and semiannual risky levels of $220.14 and $221.34, respectively.

Here's the weekly chart for SPDR S&P 500 ETF Trust (SPY) , aka Spiders.

 

Courtesy of MetaStock Xenith

Spiders trades at $227, up 1.6% in the first week of 2017. No new high as the all-time intraday high of $228.34 was set on Dec. 13. This ETF is in bull market territory 25.5% above its Jan. 20, 2016 low of $181.02.

The weekly chart for Spiders is positive but overbought with the ETF above its key weekly moving average of $222.75 and above its 200-week simple moving average of $195.69. The weekly momentum reading up-ticked to 84.12 last week up from 83.34 on Dec. 30, with both readings well above the overbought threshold of 80.00.

Investors looking to buy Spiders should do so on weakness to $213.62, which is a key level on technical charts until the end of March. I show a monthly pivot of $227.04. Investors looking to reduce holdings should consider selling strength to $231.34, which is a key level on technical charts until the end of this week.

My annual value level lags at $167.75 with annual and semiannual risky levels of $253.37 and $260.40, respectively.

Here's the weekly chart for the PowerShares QQQ Trust ETF (QQQ) , or QQQ.

Courtesy of MetaStock Xenith

QQQ trades at $122, up 2.9% in the first week of 2017. QQQ set its all-time intraday high of $122.25 on Jan. 6. This ETF is in bull market territory 28.6% above its Feb. 8, 2016 low of $94.84.

The weekly chart for QQQ is positive with the ETF above its key weekly moving average of $119.01. The ETF is above its 200-week simple moving average of $98.66. The weekly momentum reading rose to 76.88 last week up from 74.18 on Dec. 30.

Investors looking to buy QQQ should consider buying weakness to $118.68, which is a key level on technical charts until the end of March. Investors looking to reduce holdings should consider doing so on strength to $122.75, which is a key level on technical charts for this week only.

My annual value level lags at $98.20 with monthly semiannual and annual risky levels of $125.33, $139.27 and $139.42, respectively.

Here's the weekly chart for the iShares Transportation Average ETF (IYT) .

Courtesy of MetaStock Xenith

The transports ETF trades close to $164, up 0.6% in the first week of 2017. The ETF is 4.3% below its all-time intraday high of $171.16 set on Dec. 9, 2016. This ETF is in bull market territory 42.5% above its Jan. 20, 2016 low of $114.91.

The weekly chart for the transportation ETF is positive but overbought with the ETF above its key weekly moving average of $161.18 and above its 200-week simple moving average of $139.96. The weekly momentum reading slipped to 82.43 last week down from 85.87 on Dec. 30, becoming less above the overbought threshold of 80.00.

Investors looking to buy the transportation ETF should consider doing so on weakness to $155.40 and $130.09, which are key levels on technical charts until the end of January and the end of March, respectively. Investors looking to reduce holdings should do so on strength to $182.54, which is a key level on technical charts until the end of 2017.

Here's the weekly chart for the iShares Russell 2000 ETF (IWM) .

Courtesy of MetaStock Xenith

The small-cap ETF trades close to $136, up 0.6% in the first week of 2017. This ETF is 2.3% below its all-time intraday high of $138.82 set on Dec. 9, 2016. This ETF is in bull market territory 44.9% above its Feb. 11, 2016 low of $93.64.

The weekly chart for the small-cap ETF is positive but overbought with the ETF above its key weekly moving average of $132.86 and above its 200-week simple moving average of $114.08. The weekly momentum reading slipped a bit to 86.28 down from 86.30 on Dec. 30, which both readings well above the overbought threshold of 80.00.

Investors looking to buy this ETF should do so on weakness to $122.73, which is a key level on technical charts until the end of March. The $136.03 level should continue to be a magnet in January. Investors looking to reduce holdings should do so on strength to $154.12 and $154.33, which are key levels on technical chart until the June and the end of 2017, respectively.

This article is commentary by an independent contributor. At the time of publication, the author held no positions in the stocks mentioned.

More from ETFs

What Bad Weather? Kohl's Shares Spike as Same-Store Sales Jump

What Bad Weather? Kohl's Shares Spike as Same-Store Sales Jump

Listen: Here's What You Need To Know About ETFs Today (Hint: They're on Fire!)

Listen: Here's What You Need To Know About ETFs Today (Hint: They're on Fire!)

Bitcoin Today: Bears Rear Their Heads as Prices Continue Downward Spiral

Bitcoin Today: Bears Rear Their Heads as Prices Continue Downward Spiral

Cannabis Stocks Are Screaming Sells After Seeing This Deal: Doug Kass Insider

Cannabis Stocks Are Screaming Sells After Seeing This Deal: Doug Kass Insider

60 Seconds: What's the Difference Between an ETF and a Mutual Fund?

60 Seconds: What's the Difference Between an ETF and a Mutual Fund?