The Fed announced the “taper” today and there was a sell off that lasted about 30 seconds, then it was off to the races as the DJ ended up 292 points on strong volume. The taper was doubled with the announcement that the Fed Funds rate wouldn’t begin to rise until the unemployment rate went below 6.50%, which helped get the party started.

The close pushed the SPY to a new closing high. The market would appear poised for new highs now unless it is setting us up for a major head fake.