I can't think of anything that really moved the markets today other than the lack of bad news. We did break 1400 on the S&P, but I am not jumping up and down thinking we just broke into bullish territory, on the contrary I am very cautious about this price level we have reached. If you look at the SPY from April to May we created a lower high April we hit a high of $141.39 and in May the high was$140.08. So that price level constitutes a resistance zone and even though today we closed above $140 my feeling is that there are a number of investors who want to breakeven from when they bought in April and May and that could induce a sell off. Add to that if there is some deterioration in yields in Europe or some other bit of bad news that could add fuel to the fire the market could see a pretty good pullback.
I could be completely wrong on this and we could march even higher, but when a significant resistance level is reached it takes a few times and the right conditions to break through.
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