Even though today's move came on light volume, the S&P 500 and the Dow were able to close above their 200 day moving averages. The 200 DMA is a critical trend-line for the indices. The S&P has only closed over that line twice in the last 12 months 
-- today and March 21st. The 200 DMA has been a cap on the S&P since October 2000. Since then, the money-in-the-bank trade has been to sell/short whenever this area is reached. For the market to get healthy again, it has to stay above the 200 DMA and get all of us traders to turn into buyers at the 200 DMA instead of sellers. We may still thrash around this line as earnings continue to pour in this week. Today's move came on the back of good earnings news from Citigroup and Bank of America. Wednesday could be a pivotal day b/c Intel and Microsoft report earnings Tuesday night.
The 8th Try is the Charm
Essential Reading
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