Today we saw early resistance at the 1329 level followed by selling to 1322; which isn't bad for the market at these levels. Looking at the last two days you can see the development of a high base which is actually somewhat organized. Some more consolidation in this range would be bullish going forward. If we make a higher low from yesterday's low at 1323 (marked on the chart), and continue working on some consolidation friday, then barring any bad news over the weekend could make the first of next week resolving this base and breaking out to some higher levels. We may even see some movement at the higher range (1330) tomorrow. With all that said, the market is always right. It's always better to first make the observations, then look at the possible scenarios.
Happy trading everyone. Take care.
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