Talks about QE3 and some positive development on the Europe debt situation provided the spark needed for a large counter trend rally. Once it got going the machines continued to push all the way to the close. We have Jobless Claim and Ben Bernanke testifying before Congress in the morning and there is going to be a major focus on any hint of quantitative easing. Next resistance will be at last week’s highs from around 1330 and its always a bit worrisome when so much optimism is built up before an anticipated event. Today’s rally are on the verge of turning some intermediate term indicators to buy and this in only day 3 of the reflexive rally and we could get a few more days of upside possibly targeting the 1350-1370 zone.
