Very quickly, the market on the daily spy found support, closing essentially unchanged in the middle with the same moderate volume. A rally back to support /resistance at 93 would be normal.The real interest today lies with the intraday 5 minute chart. The market fell on heavier than usual volume after the opening and found support at 90.83 with a high volume reversal bar. The ensuing rally had nice volume but it certainly was not up to the standard of many rallies earlier in the upward move. The rally made a higher high exceeding yesterday's rally peak.(92.29 vs 92.33) This puts us on guard for a change in trend. The decline which lasted until 91.41 was on pathetic volume except for one large bar down. The market found support on good volume at 91.41, making a higher low. We are now ready for a gap up opening tomorrow. This is normal and expectable. The only question should this happen is whether significant demand kicks in.
