It’s quite clear that investors were content with how they were positioned heading into earnings season, with the possible exception of taking off some of the risk trade. The Russell 2000 was off 1.2% versus a mostly mixed broader market. There were no economic data. We don’t have much due out today to distract the market either. Earnings season is off to a decent start with Alcoa reporting profits in line with estimates, but revenues were a little better. The company increased expectations for global aluminum consumption to 12% from 10%. CSX Corp. beat expectations, also a good early sign that the economy did well in Q2. Probably one of the most important earnings reports, that from Intel, will be out today. The reason is that Semis are in products used by both consumers and businesses. Therefore, as goes Tech, so goes the economy. Intel’s outlook will be quite telling, especially since analysts have been toning down expectations. This should be one of those stocks to watch, to see how the action plays out after the dust settles. Intel’s chart is also very much like the S & P, settling below its 10-week and 200-day averages, as well as just under its downtrend line. Since we can see such similarities in the action in Intel and the S & P, how Intel reacts to its earnings will give us a pulse of where investors are positioned. Yesterday’s light volume suggests that investors are on the fence and are awaiting a catalyst strong enough to move them away from their now neutral stance.