US TECHS: Option Expiration May Limit Range for S&P

Today's option expiration for equities and indexes has a chance to limit the current rally in the S&P at least for the day. The S&P 100 (OEX) is trading right against the 650 strike and there is solid open interest there, which is normally a hurdle for the day. The bigger picture continues to build a pattern of higher highs and higher lows and it would take a significant pullback to damage that pattern. We'd also need to see more optimism in some of the put/call measures before looking for any kind of top.