resistance

Yesterday the market had a strong move to the upside on good volume. A day like that usually holds the highs going into the close which would be indicative of a classic trend day. Yesterday however, had a very strong sell off going into the close and the market was unable to close above the 1090 level and also failed the 1100 area once again. The daily CCT registered +21 instances of plus tick yesterday with no minus bringing our total to +162 for the short term indicator which is still overbought. The bulls need to close this market above 1090 with the next stop at the 20 DMA and the all important 200 DMA which would also be a close above 1100. Remember that this is expiration week and things do get skewed so be careful as we get close to Friday.