NQ Banging on Resistance

This should resolve higher. NQ pierced this level twice before. Should isn't a forecast, only a probability. A head-and-shoulders pattern should move opposite to the pattern (H&S top leads to drop, inverse H&S leads to breakout rally), if it doesn't that is noteworthy and gives an opposite signal.

The CPI comes out tomorrow. The consensus calls for a drop in inflation to 0.4 percent headline and 0.5 percent core for December. An upside surprise would be significant because oil dropped last month and should have eased pricing pressure somewhat. If the rest of the index is picking up speed and now inflation is back near its highs for the year...the Nasdaq could see heavy selling yet again.