10:58 am EDT:  …Accordingly, we are only looking for shorts unless and until the ES gets back above the daily pivot and point of control at 973.00.  We’re also willing to fade long in the 963-965 area with a tight stop as it looks like we won’t have a large directional down day.  Below 962.00, however, selling could accelerate, so we’ll again only look for shorts below there down to 949, which is very unlikely to be reached.

Be careful around the 11:30 am and 1:00 pm EDT Treasury auctions.  Should be no surprises, but a surprise would move all the markets forcefully.

We said in the morning report we would be watching gold, 30 year bonds and 10 year note futures.  Though each has pierced the critical support or resistance area, they have each reversed into neutral territory, so we have no signal from them yet.

Update:  11:00 am corrected to 11:30 am above