Market is higher but...

The S&P is trading up about 9 points in trading today as the market prepares for the House vote on the repeal and replace of Obamacare. The President is meeting with the Freedom Coalition. The thought is the votes are not there yet. Will the "Deal Maker" make a deal and get it through? Will he back away and come back with something else later? Will the vote fail? Most think (or at least fear) that a No will send stocks lower. A Yes would be more bullish. In between is ....well who knows.

Technically for the spot index, the price fell to the 38.2% of the move up from the January low to the March high at 2400.98. That retracement comes in at 2337.07. The low this week tested that level and has rebounded modestly.

On the correction, the price has moved back toward the MAs on the hourly chart above. The first MA is the 200 hour MA at 2362.08. The 100 and 50 hour MAs come in at 2367.86 and 2369.27. Those are the technical levels to get back above (and stay above) if the bear move is off.

On the downside, the 38.2% on the hourly is step 1 in a downward move. Below that, look toward the 50 day MA at 2329.39. The price has not traded below the 50 day MA since the November election. A move below will look toward the 38.2% of the move up from the November low (see daily chart below) at the 2279.81. The 100 day MA comes in at 2269.78.