Equities rally continues to chop, with slight advantage to bulls heading into FOMC

Equities continue to chop in a slightly upward overall direction. The up-down-up chop remains great for daytraders. For swing traders, it's a matter of continuing to (try to) buy dips and keep a positive outlook, looking to be sure key support isn't violated. Keeping a positive outlook isn't so easy with sectors like banking, financials, and energy companies marked as having topped their bear-market rallies! But the transports, Nasdaq, and some others are clearly helping the broad indices to remain up, with the SPX still in position to tap 1122.

I tweeted today about the 612 level in RUT. I should add that 620 can be considered as a C=A level, but 612 (which I'd measured as a triangle target) did get a reaction today. So I'm okay with using 612 as an important level in RUT now.

Equities may get help tomorrow if the euro, yen, and gold can shake off the dollar's strength, even if only for a few days (into opex perhaps?). But there's a valid idea of the opex positioning for Friday funneling the SPX toward 1100, and the Russell 2000 ($RUT) toward 600. Well, that's enough to keep things interesting, now, isn't it ...?!