Here is a 60 minute bar chart of day session e-mini trading. I thought today's day session range would be 998-1015. Why? The market had rallied in Europe to the high of the recent trading range (1016, lower dash red line). It had gone up three straight days, so I figured that the 1016 high would induce enough selling to push the market downward today.
But I was wrong about this. At 10am Bernanke began talking at the Woods Hole conference. The market proceeded to stage a high volume breakout to new rally highs (green oval and green dash arrows). I find this action a very impressive show of strength coming as it did after three straight up days. I also note that the entire rally from the July low near 865 has been relatively uncorrected, yet another show of strength and more evidence that the market will reach 1120 by the end of October.
For you Elliott fans out there I would point out that the move off of the early July lows has all the characteristics of being the third wave of the move off of the March low.
In any event I think reactions will be limited to 10 points or so until the market reaches resistance at 1035. This is the midpoint of the higher of two "stacked boxes" (pink rectangles) of equal height. The lower one is 40 points high and encompasses the recent correction. The top of the second box is at 1055. This is very close to the next midpoint resistance above the market at 1054 (higher dash red line). This is the midpoint between the May 2008 high at 1442 and the March 2009 low at 666.