Well are we convinced?

Yesterday
We did get another push, however momentum and volume was lacking yet again, however we are on the upper end of key resistance areas that is being approached on an ascending triangle so be cautious on the short side.

I am glad my call for the low worked out. I had mentioned that if we are to retrace we should not get back to the previous days low and stop at the 833-834 range - the low of the day ended up at 835.40. I was looking for a close above the 850 range and we did not quite accomplish that but we edged a bit closer.

We are increasing in price as volume is declining so be very careful on both sides of the trade. The bulls do have a chance here to step in with volume as they are only a few points away from key resistance areas.

Support & Resistance
I am going to focus on the upper areas today. All of the next resistance lines are very closely bundled together so be careful here.

868-871 = key areas for 50 and 20 dma

861-862 = the last big bottom before we dropped below the 850 range.

857 = you remember the significance of this number previously. I do believe it will come into play again

850 = upper edge of our 2 day ascending triangle with a close just 5 points away

839-840 = we know the importance here, it took quite a bit of work to get this broken and it still remains a weak support point.

833-834 = this should be our last barrier before the 820 though it is my feel that if we are to revist this point we can end up at the 829 instead as it carries more strength.

Unfortunately we have many resistance areas on the upper range which makes it difficult to trade in either direction.

Today
We should see quite a strong day today. We are on the third day of our important "breakout" so we need to follow through. We are making new peaks, or at least testing the upper ranges while momentum is dropping. Bad Sign so the bulls need to make a stand here.

How to trade this?
Today is going to be a bit more difficult. I would remain on the sidelines yet again unless we hit the 870 range. Here we can easily go short however I do not believe this will be reached today. My call would be a stall anywhere from 857-862 but again, difficult to trade unless you can closly watch volume and time.