Week in review

SPY:
YTD down 6.37%
Last 5 days up 4.09%

QQQQ:
YTD down 10.46%
Last 5 days up 5.45%

DIA:
YTD down 4.87%
Last 5 days up 3.17%

The last 5 days were impressive even though it was all due to one day's performance. Overbought conditions were somewhat relieved Friday; however, not in dramatic fashion. This may have been enough of a breather for the bulls to test resistance at 139-140 next week. That said, this new found level of complacency could be dangerous for those who think there is no more downside risk. Conclusion - short-term is still anyone's guess as evidenced by Wed-Fri trading action (or inaction).

Check back tomorrow for some longer-term option strategies.