Bulls need more patience than aggressiveness. Some indicators show cross-down and hesitance. At least some more consolidation before up or down. Break out the range 1403.00-1416.50 need to be seen before adding long or short. I still favor bull, however with more cautiousness.
The index made a nice bounce at the contact with the second support area 1404.64-1407.20. The bounce can be explained supported by FOMC Meeting Minutes which favors the prospect of further easing by the Fed next month.
Not going against FED, I expect that bulls will advance today to test the recent high 1426.68. A little hesitation or a small pullback there, may be, then I expect a breakout by late today or by tomorrow.
I supposed you esteemed visitors remember my post 8/21/2012 where I expected the level 1.2550 -1.2600 would be visited.
The next move of the pair would be the upper major trend line (yellow) at around 1.27xx. Imagine! That if happens, will support the equities markets