The S&P today is all about retracement, something we did not have the ability to do all last week when it rallied
about 70 straight handles. The lack of two way trade is just plain obnoxious these days. Now a couple short
abbreviated sessions, and we suddenly decide with Europe’s help that we can trade back lower. Today if we try
to regain any footing the main resistance block begins at 1099.75 through 1103.00. Only above 1103.00 do we
take on a positive sentiment again, with 1105.25 as the main resistance guarding the 1107.25 high. To the
downside, we have put in a session low of 1095.25 thus far, but the real test will be to see if we can get below
1093.25. To put some perspective to things, the first fib. retrace of .382 is down at 1080.00, so there is plenty of
space to play with today, before becoming threatening that now we cannot stop the downward direction just like
the trip was upward.

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