One Step At A Time

Yesterday the S&P sunk below the 1269 level that I mentioned, thus negating my count, then bounced off a trend line extended from 12/31. I was able to scoop up some inexpensive SPY 129 calls and am hedging them now in the pre-market with BGZ. The 1290 level I mentioned yesterday now corresponds to a .786 retracement, but seems a bit optimistic. I am watching the 1285-86 level as a possible end point for this bounce. Europe is up very well today. I'm looking for that sentiment to carry over to our open (at least). I still have the feeling that this market might have one more trick up its sleeve, and am taking it one step at a time.