The technicals for the stock indexes are negative short term. We are higher at the moment and this early strength may offer a good opportunity to sell calls/spreads and/or buy puts/spreads. The S&P's may top out anywhere between 814 and the upper 820's this morning and re-test or break yesterday's lows.
That is the technical makeup as I see it, but it is important to remember that any specifics offered by the new administration as far as the stimulus or banking fix goes may prompt significant reaction in the market. Also, the new Treasury Secretary will be grilled for confirmation today which also may create volatility. He appears to be headed for confirmation (which the market seems to want) but if it gets off track because of his unpaid taxes or employing an illegal alien then it may cause problems.
Notes and bonds are lower and the dollar is relatively quiet this morning.
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