The real game will start today. Big guys are back from vacations; market should become volatile soon. By second weeks of January I should have a vision which way market is headed.
Meanwhile pay attention to ~1260 and 1300 as problem areas. S&P500 has moved sideways for many days it's about time we get some action. If S&P500 stays above 1260; it would have the potential to shoot for 1300 level. If big institutions start to sell, I would look for 1232.56 as the first line of defence. If it would not holds S&P500 would tank to 1245 then 1220.
Please note if S&P500 stays below 1228 for a couple days it would be very bearish.