Futures are around the flat line this morning after yesterday’s bearish outside day/"Red Dog reversal." The oscillator is still overbought despite yesterday's move and I expect this pullback to at least work off that reading. The S&P (INDEXSP:.INX) also just had a two-week move from 1343 back to the 61.8% Fibonacci retracement zone of 1423 so it's not surprising or unhealthy to see some digestive action. The short-term point of reference to watch this morning will be yesterday's low of 1408.46. More than anything now is just a time to be a little bit more cautious and flexible. We ...