12.15.2011 -- Rejected the 50 and bollingers..

Not much of a change today. We attempted to rally on the obviously unmanipulated government economic rally. We rejected resistance basically where the 50dma and bottom of the bollingers are hanging out.

That sell off put us right back into empty space, below the bollingers, below the 50 and 200 and with the stochs still near the top and on a sell.

Today was the markets chance to get back over the 50 and back up into the bollingers on the good data and set itself up for another run into the north pole.

it failed.

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Key Levels

Upside -- 1225, 1239, 1256-1264 (heavy resistance area), 1310

Downside -- 1202, 1180, 1121, 1098

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SPX Daily;

Same chart from yesterday updated. You can see where we rejected resistance and how we are floating in no mans land where I don't think the market has any choice but to fall to next support at 1202 and try again to bounce and gain momentum.

Not a lot else to add here.

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Only other note from today is that IWM/Russel 2000 held up well today, it heavily outperformed the other indicies. It's pretty much what kept the market from turning red today.

Most of the big name leaders from the rallies several days ago (CMG, MA, V, GOOG, IBM) they got whacked yesterday and did a lot of nothing today.

This is a whipsaw market devoid of leadership working inside a government with major issues facing it.

In other words, this is a bear market.

GL

CJ