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Futures just rallied up to be flattish. Something about the G20.

Keep the big picture in your sight. Down 2,000 DOW points in 9.5 days…1,100 of those points Thanksgiving week. Rally up off the fed about that same 1,100 into massive massive resistance. On top of that, except for the DOW, everything pretty much remains BELOW the 200 day moving average. The TRANSPORTS are better because of the oil crash.

We believe we have seen THE LOWS for now. This simply means THE LOWS we just had will not be breached any time soon.This does not mean we do not pull back a few hundred…and frankly, would be normal. And of course, nothing is guaranteed so if we see serious distribution show up,  we will know it.

One area sticking out is SOFTWARE as a bunch of names now coming up their right side. It looks like CRM’s reaction helped. Another name, WDAY, gaps up this morning to new highs on strong numbers.

Otherwise, we suspect we now have some backing and filling and see what comes out of it. Today is end of month and then we head into what is supposed to be seasonal December strength…supposed to.

We believe the most important part of the equation is that the fed blinked AGAIN. For years, every time markets get in trouble, they have blinked. Maybe one day we will get someone who lets markets be free or maybe there will come a day where markets stick the middle finger back at the easy money moves. We also believe any further upside will continue to be narrow as too much stuff just aint happening.