Pre-market update (updated 9:00am eastern):

• Europe is trading 0.5% higher. 
• Asian markets traded 0.3% higher. 
• US futures are flat.  

Economic reports due out (all times are eastern): ICSC-Goldman Store Sales (7:45am), Durable Goods Orders (8:30am), Bernanke Speaks (8:30am), Redbook (8:55am), S&P Case-Shiller HPI (9am), Consumer Confidence (10am), FHFA House Price Index (10am), Richmond Fed Manufacturing Index (10am)

Technical Outlook (SPX):

• The S&P 500 finally cooled off some yesterday after five straight days of rallying hard. 
• Despite the gap down, the markets rallied off of the early morning lows. 
• We also managed to hold the breakout level of the downtrend off of the 10/18 highs. 
• But we have yet to clear the resistance level at 1410. 
• SPX remains well overbought on the short-term time frame. On the long-term time frame, SPX is no longer oversold, like it had been prior to last week. 
• SharePlanner Reversal Indicator shows a strong possibility for a Santa Rally
• After 1410, look for the next level of resistance to kick in around 1437. 
• Volume returned back to normal levels after experiencing weak holiday trading the week before. 
• Despite the strong rally of late, the SPX failed to make a higher-high. As a result, I’d view this market with skepticism, until proven otherwise. 
• SPX currently has recaptured the 10, 20, and 200-day moving averages. 
• 30-minute chart shows nice consolidation at the highs. 
• VIX remains at 15. 

My Opinions & Trades:

• Sold PHG at $25.82 from $25.41 for a 1.61% gain. 
• Shorted KORS at $50.83 yesterday. 
• Here is my real-time swing-trading portfolio and past-performance

Chart for SPX: