After a brief retreat from the ECB dollar liquidity news pop, the market popped straight up and closed at the high. We are still under the 200ma, but mood seem to be still cautious and this gives the potential for more squeeze on option expiration tomorrow. There is substantial overhead resistance and extended short-term conditions, but it may not matter until early next week. However, bears should not get carried away with a potential QE3 announcement from a mid week 2 day FOMC meeting.
