U.S. investors purchased shares at the beginning of the week as the market rebounded nearly 2%. Fears about the debt crisis in Europe and the question of "U.S. budget" made the S&P 500 fall down by almost 10% in a few sessions.

Wall Street started to pull back up due to constructive budget negotiations which make investor consider that an agreement before the end of the year is possible. Several members of Congress have suggested that everything would be done to avoid the so-called "fiscal cliff". Meanwhile, financial operators were encouraged by the better than expected sales of existing homes in U.S., up 2.1% confirming the improvement in recent months on the real estate market.

In this renewed optimism, investors made purchases of oversold stocks such as Apple which bounced more than 7% after a loss of 25% of its value since its recent highs.

Technically, the dynamics of the S&P 500 remains strongly bearish in daily data below 1400/1410 points which refers to the 20-day moving average. The rebound may continue in the short term up to levels where the most aggressive traders could open new short positions to target a new test of the 1365 points level. We prefer to wait for an exit of the 1365/1410 points range to open new positions and take profit of a new trend. The exit of this range could be traded using E-mini S&P 500 FUTURE (code: ESXXXX) on the futures market CME E-mini.