Pre Market TAO Fri 08-21-09

SPX trade 30 min chart range for Friday Options Expiration Day. Price is at top of resistance line and Pattern looks like a Bull Flag but the indicators are suggesting another leg down then up. The market is clearly in a up bias the bulls are aggressively buying the dips. Rsi and Stokcastic are over bought the market looks like it wants to turn down but the lower chart of the NYSE Tick is showing strong buying with very few net sell candles below - 500 for the last month. This is a very nervous place to short if the price is rejected at Spx 1017 area price should move down into the shaded red zone . Be careful if you do short this market and use small size. I would be more inclined to wait for price to move down to 987 area and touch the green zone on the Tick chart in the AM session then go long.
The big money is buying any weakness so I expect a shallow retracement. Very Tough market to trade could get Whippy. Many traders are just stepping aside until next week.