This is an updated chart of the SP500 gap resistance. Notice the confluence of trendline resistance from the wedge that cluster in the area of the open of the gap (indicated by the black line) from Oct 07. Down volume distribution days are now more than 4 in 6 weeks...that is the allowable limit. In addition all the distribution days except one are larger than the accumulation day volume. Please keep in mind that the Dow and SP do not show gaps on stockcharts...thats why I drew the gap in with the green box.
Oil's head and shoulders continue to play out...we are holding support at the 50 SMA...but things don't look good for oil. This reinforces the relative strength that the dollar showed today.
XLF was saved (by whom, I wonder) by the hair of its chin...its the lowest up volume candle of the entire rally and still below the range day from early sept. Things do no smell great in financial land.
