Stocks continue to hold near the highs of the day. The SPDR S&P 500 ETF (NYSEARCA:SPY) is trading at $126.77, +2.45 (+1.97%). A positive vibe is radiating out of Europe ever since the massive collapse in the markets on Wednesday. There is a general feeling that the ECB will save the day much like the Federal Reserve did in 2009.

On an intra-day basis it is possible the markets have one more move up into the end of the day. If you take the high pivots and connect them, a trend line emerges. Note the chart below. This price level may be hit on the S&P 500 by the close.

The Walt Disney Company (NYSE:DIS) is helping the Dow Jones Industrial Average. After reporting solid earnings results that surpassed Wall Street estimates, the stock is trading at $36.99, +2.35 (+6.78%).

Commodities like oil are also nicely higher. This continued move in oil towards $100 is helping take the markets higher as Exxon Mobil Corporation (NYSE:XOM)  leads.

Traders and investors need to continue their cautious nature in this environment. The weekend offers another multi day opportunity to see more problems in Europe crop up. Trade with the pros if you are going to trade at all.

Gareth Soloway
Chief Market Strategist