Closing Brief

The market closed about as close to the next bearish sand-line as it could have. The bears will be under serious threat into tomorrow, if futures overnight are up more than a mere 0.25% There will be a lot of big money stops around the current 1390/95 level.


Sp'60min

Sp' daily,  bearish scenario

We closed right at the top of the RS bubble, this is about as high as this outlook can tolerate. Even a small move to sp'1395 tomorrow would arguably violate this chart.


Vix'60min

Summary

The closing bell at the NYSE was rung twice (a historic first?)..as you may have heard from the clown channel coverage. A sign? A turn? Well, what is clear is that market remains right on the edge. The bears can NOT sustain even a small gap up tomorrow morning. Bears need at least a moderate Thursday gap lower to get away from this extremely dangerous level. The VIX closed weak, and shows zero sign of turning back upward.

What is clear is that 3 big threats to the bears have now been endured and will soon fade from this markets incessantly short-term memory - the AAPL earnings, the FOMC press release, and Bernanke's press conference.

Much more in the evening!