Morning Charts 07/31/13 SPX /ES

Yesterday I gave it the whatever and tug-o-war call and that was about spot on as that's what happened. Let's continue to keep it simple as there is really nothing to discuss other than taper on/off, and we've beat that to death. All there is to do at this point is wait. The Bernank is speaking, so as usual STB will wait for his direction. Follow the Fed, that's all there is to do at this point. Well, that and wait for my "event".

Minis at the close yesterday - It should be pretty clear to those of you that have followed me and know how to read trendlines. 1688 is kinda a key level here for resistance. A breakout and backtest of the yellow channel resistance should have the bears a bit worried, but then there is that pesky 88 level. Looking up, over 88 and the bulls could run, a lot. Down below is the peach major support diagonal near 1665. That's a very wide berth which aptly describes the market's potential to move either way at this point. There appears to have been a failed ascending triangle (green dashed) over the past two days. This is unusual as this has been a formation that has worked almost every time to the bulls advantage.

I could discuss a lot of this and that, but am trying to avoid simply regurgitating a lot of things you already know. If you want detailed discussion about the current goings on and the superlative issues that surround the markets, see the comment section below as a blow by blow is delivered below every day.

More charts and stuff to come below as usual.

Have a good day.

GL and GB!