Futures may be making a double top in the pre-market. They will need to extend forcefully above ES 1645 or there could be a gap reversal at the open on the cash S&P.
Yesterday was another low volume levitation with so-so internals. A/Ds, UVOL/DVOL, Ticks, you name it, they were all on the week side. This does not mean the market will turn down, but it does say to me that nothing has changed in this market: it goes down with force and conviction and goes up without.
Also, an apples to apples ETF comparison of SPY vs IYG, JNK, and HYG is not confirming the current rally off the 1560 low. Financials look great (because they love the wider interest rate spreads), but junk bonds and high yield corporates look weak. This is an overall bad omen for the stock market.
The focus remains on the volume shelf at 1650 and specifically, 1654.19, the June 18th high. I expect things to get sorted out over the next few days whether new highs are in the plan, or a very large fake out.
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