The 106 level failed to hold as support yesterday and that brought a move down through the 61.8% retracement level from the October range and also down through the rising 50 DMA. The SPY has two uptrend lines from different timeframes which are converging right near yesterday’s close and that makes it a level of significance from participants with different timeframe objectives (more important) The market has gotten quite oversold and is now bouncing up beyond 105.10 in the pre market, yesterday’s VWAP will be found near 105.25 and that may be a level the market backs off and consolidates before being able to rally further. If the buyers can maintain control, we could have a trend day higher which could see the market run up towards 106.