Head and Shoulders (Knees and Toes)

Besides the death cross, another technical formation that tends to get much media love is the head and shoulders pattern.  It seems that we have just such a pattern forming today.  Aside from the fact that 1125 represents a resistance level that we've tested and held several times, now it's the market's neckline--a double whammy!  Let's hope we don't break that level.