Another photo I covertly shot at MOMA last week, this piece by Francis Picabia (the Papa Dada artist covered in Monday’s Daily), is called Salome.

Salome’s fame comes from her demanding and receiving the head of John the Baptist (New Testament). Oscar Wilde wrote her as a femme fatale.

This week, the Dow Jones’ flirtation with 20,000 can also be described as a femme fatale. After making new highs early on Wednesday, it then sold off post FOMC to create a possible reversal pattern.

Today, the Dow aligns with Picabia’s view of Salome- “sumptuously dense and dark with a patch of sky blue.” The New Yorker

The Dow, along with the S&P 500 and the Russell 2000, all had inside trading days. Yesterday they sold off on greater than average volume.

The inside day today (when the trading range is literally inside the trading range of the day prior) translates as hesitation. That hesitation should reconcile either Friday or by the latest on Monday.

Will, like Picabia’s Salome, the market leave us with a patch of blue or a crown of thorns?

The Modern Family (IWM, SMH, IYT, IBB, XRT, KRE) all closed green. Interestingly, none had inside trading day patterns.

Retail (XRT) broke Wednesday’s low and closed relatively weak. Transportation (IYT) cleared Wednesday’s high yet closed near its intraday lows.

Regional Banks (KRE) traded similarly to IYT although closed stronger.

Semiconductors (SMH) made another new all-time high. And Biotechnology (IBB) returned above the 200-week moving average.

Imagine a tug-of-war using Salome’s veil as the rope. On one side, you have Regional Banks and Semiconductors pulling for higher levels. On the other side stands Retail, Russell 2000 and Transportation pulling for lower levels.

Biotechnology has not chosen a side and could be a catalyst for which side wins tomorrow.

Like Picabia and Salome, his muse, the market has gone through countless stylistic phases. It seems to reinvent itself again and again. Like Picabia himself, the market is both multifaceted and multidimensional.

One lesson of 2016-no matter what today looks like in the market, tomorrow could prove itself against the dictate of any individual and/or established traits.

2017 will dance Salome’s “Dance of the 7 Veils” on even stronger and faster legs.

S&P 500 (SPY) Inside day with 227 pivotal and under 224.50 trouble

Russell 2000 (IWM) Inside day. 134-134.50 pivotal support to watch.

Dow (DIA) Inside day. 120 to clear 196 to hold.

Nasdaq (QQQ) 119.65 point to hold if good

KRE (Regional Banks) 54.85 pivotal support.

SMH (Semiconductors) 72.70 ow support.

IYT (Transportation) A huge correction would bring this down to 154. If recaptures/closes 168 nevermind.

IBB (Biotechnology) Unless this clears 275, could see move to 240

XRT (Retail) A break of 45.50 would be where the real fun begins.

IYR (Real Estate) Held 75.80 and should if good

GLD (Gold Trust) Exhaustion gap lower? Watch for it but wait for a confirmation

GDX (Gold Miners) Nasty day but maybe blow off bottom in the works

USO (US Oil Fund) 10.80 back in focus

TLT (iShares 20+ Year Treasuries) Inside day. 116.35 very big support on a monthly chart. Now, 118.50 resistance

UUP (Dollar Bull) Runaway gap if hold over 26.55