Good morning. Here we go again, today will once again be all about the Bernanke, who speaks to the House Financial Services Committee at 10am.
Futures are moderately lower, sp-3pts, so we're set to open around 1360 - that is still pretty high, and just 14pts under the recent peak of 1374.
So...when is this market going to drop? We've now seen around six full weeks of a broad up trend. There is mention in many other places of a 'necessary gap fill' around 1367/70. That would certainly make for a perfect top in this cycle.
I will look to short around 1367/70, if we can cycle higher today.
Look to the MACD cycle on the daily chart, the third tower will be pretty close to completing today.
*there are 4 pieces of econ-data tomorrow, and I'm inclined to be short ahead of them, but as noted, it depends on the early action this morning.
Good wishes for Wednesday trading.