Support at 1307, the 50 fibonacci level, held again today. The 1295 level is the .618 as you may recall.
The market popped on Benny's reassurances that QE3 awaits the next stumble, but it did not stick, which is far from bullish action.
Friday is options expiration.
We are in earnings season, and the accounting and financing gimmicks may make them look rather rosy. But watch the guidance.
The US economy will absolutely not recover until the wager earners get back on their feet. This implies increased employment AND an increasing median wage. The headwinds against this are strong, and far from cyclical. The rentiers are sapping the life out of the working classes, and especially the middle class.
