Earnings took the lead over weak economic data and global concerns. Friday, the “stress test” for European banks came out “better than feared” but not as strong as one might have hoped. Still, it was good enough that the averages finished the week on a positive note, erasing the weakness of the prior week and closing at key technical levels. Starting with the Euro, Friday’s good news helped lift the Euro versus the Dollar back near 2-1/2 month highs. The Euro faces technical resistance at 1.3260 and significant overhead supply at 1.35. The S & P closed at its highest level since late June and just under its 200-day moving average, now at 1113. Resistance is initially at that level, then some resistance at 1130. If we push to 1150 by the first week of August, I intend to become very cautious, just as a warning. We are in the sweet spot. Earnings should carry as much weigh as the economic data. There are many economic reports out this week, but most of the attention will be focused on the 2^nd quarter GDP report due out on Friday. While the official estimate is for growth of 2.5%, I expect the whisper number to fall to 2.0% by week’s end. Expectations are low, and that continues to give the bulls the advantage. Technically, the pattern remains a consolidation that was just breaking out on Friday with good breadth. We’ll need to see a follow-through, but the short-term is up, while the long term is still leaning toward a negative bias.