The situation in Europe continues to worsen as Italy's short term borrowing rates rise. The market's reaction has been muted thus far. Assuming that the market is able to continue to shrug off Europe, the short term technical picture will become more difficult in a few days.
On a short term basis we will be overbought at the end of this week. Good news from the Greek election on Monday would come just as the market is overbought. On an intermediate term basis there are more reasons to be constructive. I believe we are in a large range so I used the strength in recent days to write covered calls against some positions. I would likely use weakness towards the bottom of the range to write puts or add to longs.