Trader Update -data point 20 December 2011-

...in an extreme bearish down leg (Trin *2.84), the market sailed through the SPX 500 15 December 2011 Low *1209.47 marking an intraday Low *1202.37, below the 29 November 2011 High *1203.67 - the intraday violation of the 29 November 2011 High *1203.67 combined with a tepid support off the intraday Low *1202.37 signals weakness ahead - lower targets in the neighbourhood include the 30 November 2011 Low *1296.72, the 29 November 2011 Low *1291.80, the November 28 High *1297.35 - coinciding nicely with 3-mth trendline support current *1291.82

...the VIX wedged in between *24.00 support and its 200-dsma resistance current *25.72 while the 21-dsma and the 50-dsma trending down - the 200-dsma at neutral inflection

...the DXYO consolidating below double top resistance *81.00

...as a result, above the 29 November 2011 congestion and 3-mth trendline support, the index remains on track for a third leg higher into the *1300 Psych barrier (+) - taking out the 19 December 2011 High *1224.57 is a minumum requirement to achieve - 50 (%) protection for a fully invested portfolio - reducing at Closes above *1225.60

Kind Regards