New Highs Slipping Away?

Buying has been tentative since the opening's gap above yesterday's highs.  At the moment, price is flirting with the possibility of dropping back under the resistance level.

Note the uptrend in the VIX over the last week too.  Not a good sign while attempting to break into new price territory.

I think we'll revisit the 1310 area again before progressing much higher from here...

Added July Call Spread on RUT.

Test Complete

The test of February's high has now been accomplished.  The question on the table now is whether we're in a new rally leg higher, or whether this test of resistance will enable price to resume a more lasting downtrend...

While I've not committed either way yet, I did establishe another call spread position in July SPX.  I can quickly add a July put spread too if price shows that it has the strength to surmount this area and continue higher.

Some other notable markets:

Silver:  Taking a breather

Bonds:  Gaining momentum for an attack on resistance.  Important test coming up (naturally, at the time that equities are testing resistance).

USD: Sinking below the lowest levels of the '08/'09 financial crisis.  I see a clear three waves down and don't expect that additional declines of any significant magnitude are imminent.  Nevertheless, this chart clearly displays the erosion of confidence in the US economy.