The markets are hovering today just above the flat line. After a little gap up, the S&P faded to being just above the master 1126 level. This level is a major pivot point on the charts and should be monitored. After a nice fade, the markets are moving in a slightly bearish flag pattern. However, as we always caution, bear flags on holiday weeks when volume is anemic are not always going to play out. It is very possible they float this market the rest of the day. Most of the top traders are taking the whole week off as they get ready for a crazy 2010.
