A price dip was bought today, yet again, and was just able to recover above its 20-day moving average. There is a gap overhead which would be healthy to fill, but wouldn't necessarily entice a direction either way.
Looking for clues:
The TLT fell below, but rallied back above, the $116 price today (on volume); a significant level in my opinion.
The U.S. Dollar Index held a shallow retrace within its previous bullish momentum. It still looks somewhat messy, but seems to be attempting to establish a higher low bottoming process.
Crude Oil has been trending higher (on waning momentum) and mimicking the move of the broader markets. At this point it seems to want to test the psychologically important $100-mark at which time it could be telling in terms of exactly how much supply is at that level.
The EURUSD has exhibited selling strength on every rally higher since June. Lower highs looking to test lower lows.
So, we have the S&P500 treading water to stay above 1220, the U.S. Dollar Index trying to establish higher lows, whereas every Euro rally has been sold, the bond market holding higher (lower yields), hinting that "risk" is not quite back on, and Crude Oil coming into overhead resistance (still a lower high) after trending down since May. So, you decide, but things appear to be coiling.
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