11:25 am EDT:  It was bound to happen sooner or later, and the first distribution day in nearly a month is upon us, with the US Dollar advancing through resistance and the EuroYen through support.  After opening a few ticks from Wednesday’s high, the ES headed down, barely pausing at the daily pivots, and easily breaking yesterday’s low.  1155.50 to 1165.50 is now a sell area.  Last week’s high of 1152.00 in confluence with the daily S2′s is currently providing support, but an eventual move down to the daily S3′s is possible (1149.25 to 1150.25).

The Precise Take – Equities maintaining amidst Dollar rally

Leaders Analysis:  The US Dollar Index has surged further to strong trend line resistance, and the EuroYen is just barely holding on to support.  Equities have held their ground, however, and for the same reason as yesterday (leaders at inflection points), the leaders are equities neutral.

Medium Term Analysis:  Not much to add from previous days’ commentary.  Equities are at highs, a bit overbought and today is opex.  Next week is quiet until GDP on Friday.  The Treasury auctions could depress equities a bit.  Monday will be a big test.  With no news, will traders…

Continue reading here.