Up we go again.
Index Futures are up 0.666% and the Dow (/YM) is testing 30,000 again, which is a really good shorting line. We had fun shorting the Nasdaq (/NQ) at 12,500 yesterday into the close and it's back over it again this morning so it will be a lagger to the Dow if it crosses back below and also playable with tight stops above.
Why short? Because 30,000 on the Dow and 12,500 on the Nasdaq are good lines of resistance and likely to be rejected without an actual catalyst and everyone is already expecting Stimulus and more Fed Action so it's easier for bullish traders to be disappointed than rewarded.
The S&P, for it's part, is having trouble at the 100-hour (2-week) moving average at 3,666 (so also a good short on /ES) and has no real support all the way back to the 400-hour (2 month) moving average at 3,525. As this is a 2-hourly chart, these moves can be very quick. Most of the gains came in the first week of November, when the S&P popped 200 points on relatively low volume to 3,640 and we're pretty much still there a month later – that's not real strength.