Trader Update -data point 13 January 2011-

...the SPX 500 trading at 3-mth Highs closing *1295.50 setting another intraday High *1296.82 - caution dominates trading below the *1300 Psych barrier and strong overhead resistance ranging up to the 28 July 2011 High *1316.32

...short term intra-day liquidity flows - short term institutional shift of direction - new Highs market internals as well as a bearish biased Trin today *1.17 display negative divergences

...the VIX still fails to close into the bullish inspired *19.63 level

...both the strong stocks and FTL(follow the leader/very strong)-stocks below zero in negative territory and below support

...the DXYO rally off the 27 October 2011 Low *74.86 remains supported *80.55 trendline support

...upside potential into the *1300 Psych barrier and strong overhead resistance ranging up to the 28 July 2011 High *1316.32 remains above the 28 October 2011 High *1287.08 - however, ahead of OpEx and due to multiple negative divergences, risk of a bearish strike are increasing - as a result, 75% fully invested portfolio protection in place *1301

Kind Regards