It was a close call but, in the end, bulls prevailed.  As we are reminded by those lovable Legos (yes, they’re back) everything is awesome!

VIX is back below support and SPX’s rising channel is intact.  The Dow, the market’s best barometer of bullish interference, is back above its SMA200.  See if you can spot the turning point.With futures currently up 10 points, will the market mind when oil and gas continue plunging this morning?  We’ll see.

continued for members…

Any way you look at it, CL is breaking down.  RB should follow along.

VIX is back in protective mode, well below its SMA200 and horizontal resistance.But, if it pops back above the yellow TL at 16.08, stocks are going to have a hard time holding their pre-market gains. If it pops back above the SMA200 at 16.52, forget about SPX’s SMA200.This put SPX back above its 2.24 and, again, with a clear path to its SMA200 as long as it can break out of the small white channel at 2721.50ish. ES is a little behind the curve, but it had a head start this morning.So, bottom line, stocks have a nice cushion going into the session.

They also have help from a DXY which refuses to die…or, even get a little sick.  Could it be taking another run at the .618 that it narrowly missed in November and December?  At this rate, I wouldn’t dismiss it.  DXY has clearly broken out of the falling white channel. The reasons continue to be the euro’s……and the yen’s troubles.While the US economy is nothing to write home about, it’s not hard to look great compared to both Japan and the eurozone — particularly from a rates standpoint.  While the 10Y is overdue for a plunge, it’s still going sideways. Gold is finally headed for (at least) that gap close.