Powell on Tap for Round 2.

Bonds could tell the story.

Technical Edge — 

• NYSE Breadth: 16% Upside Volume (!)

• Advance/Decline: 20% Advance 

• VIX: ~$20

Fed Chair Powell will be on tap at 10:00 a.m. ET and what he says could again be a market mover.

It’s no surprise that rates are heading higher — no seriously, it’s not surprising at all — although the equities market just seems to be waking up to that concept.

In any regard, the S&P is teetering on a key level. Not the “new lows could be in play” type of key level, but the kind that says, further weakness could put the last week’s lows in play and if the market isn’t careful, the December lows could eventually be the target if things really start to break down.

S&P 500 — ES 

Super sloppy overnight action. For now, 4000-4010 is resistance. Above that and 4025 is the next layer of resistance on our chart. 

On the downside, ~3980 is the pivot. Above it is constructive, below it is a concern.

If we break 3980 to the downside and fail to regain it, 3950 to 3959 is in play. 

SPY