S&P 500

The S and P broke north out of its base.

The indicators have had a chance to unwind.  1200 looks like a good support to the downside.

On the daily chart, it can be seen that the index is entering a congestion area highlighted by the orange circle.  That is where the 50/200 day ema's are lurking (and pointing down) with the neckline just above.  1260 will be tough resistance.  If the indicators can unwind from being oversold a little more, 1255 would be a good spot to go short, with stops at 1265.  With a couple of big economic reports due this week (ISM and Payroll) it should make for an interesting market.

The weekly chart shows the resistance levels noted on the daily chart.  The best thing about the weekly chart is that the indicators are trying to curl north.  It make take another run down to get the indicators flushed out.  In the meantime, the oversold indicators make another "crash" look unlikely.  Maybe more downside, but not a "crash."