brodin is looks at leonardo fibonacci. he discovered a series of ratios that repeat themselves in nature. according to many technicians like brodin, these ratios repeat themselves in the charts, as crucial turning points in the price action for all kinds of securities. look at a previous swing in the stock or index and apply the ratios, and the result is usually an important level for that security. brodin likes to look for clusters of fibonacci relationships, and we have a group of three, 1436 to 1446, which is why this is so important. a retracement of a previous swing, 100% price projection of another swing, and if it would be symmetrical to a previous move. to brodin's way of thinking, these three levels clustered together create a strong ceiling of resistance, and the s & p has to wait to jump the hurdle. now, we failed to jump the hurdle yesterday. yesterday was significant, and negative. so brodin expected to see the kind of pullback we got today before we tried to test the resistance level again. fortunately, s & p

if the s & p can stay above that level, brodin believes it's smooth sailing. based on fibonacci, it could rally to 1510. more than 6% than it is right now. i want to make that. and looking at the next dhacharf the s & p, the s & p might go as high as 1555. wow. or even 1607. again, using her work to get there. that would be the kind of market. and 1607. and the trouble comes back to the s & p, to 1336 to 1446. and brodin's going higher, and we could see terrific rallies in the dow industrials and nasdaq. she is approaching 13985. caught your attention and she says the nd x running up to 2982, a 12.7% increase where it is right now. could that be apple getting back to where it was? the bottom line, charts aren't more powerful than the fiscal cliff, while we wait for washington to finish its game of deal or no deal, this market has hurdle jumping to do. if the s & p can break out above 1446, the pullback can be overcome and the entire market could levitate. that's what we need to see to get charts on our side, or brodin's version of them. i'm with her. cautious,