8:30am (EST)

Make it two-in-a-row for the bulls after they won Tuesday’s session.  Before we go over this morning’s big news, let’s take a quick look at where the major averages finished.  You will notice all three indexes finished just below the targets we outlined Monday morning for you which means the charts are still giving us excellent information.   

The Dow jumped 145 points, or 1.2%, to settle at 12,188 and at its high for the day.  The index stopped just short of our 12,200 target and we said if it is cleared there could be a run up to 12,350.  Support is now at 12,000 then 11,800.

The S&P surged nearly 16 points, or 1.3%, and closed at 1,296 and also went out near its high for the day.  The index also fell just short of our 1,300 target which was no surprise going into the Greece news.  If cleared, we should see a run back to 1,325, quickly.  There is still strong support at 1,250 but 1,275 should provide some help if there is a pullback.  

The Nasdaq soared 41 points, or 1.5%, and easily took out the 2,700 level by finishing at 2,729.  There is more overhead resistance at 2,750 but if cleared, Tech could challenge 2,800 just as fast.  The index has strong support at 2,650 if there is a retreat but if the 2,700 level holds then the market is giving us some forward looking clues. 

One stock that went on a roller-coaster ride yesterday was Spreadtrum Communications (SPRD, $12.49, down $0.46) after a research firm questioned the company’s books.  The stock opened at $13.23 but plunged to a low of $8.59 intraday after it was disclosed the research firm had a short interest in the stock.

Another analyst came out and defended shares and reiterated a $30 price target.  The stock recovered somewhat put the options pits were insane.

The Spreadtrum July 10 puts (SPRD110716P00010000, $0.95, down $0.40) opened at $1.20 and traded to a high of $3.40.  There were 20,000 contracts that traded hands and they were the most active July put options.

The July 15 calls (SPRD110716C00015000, $0.50, down $0.80) opened at $1.30 and fell to a low of 14 cents on volume of over 5,000 contracts.  These options together might still make a great strangle option trade if the action in Spreadtrum continues but it was a classic bull-and-bear battle that was fun to watch. 

As far as Greece goes, the world is still waiting on a final vote which is due any minute now, literally.  There was some enthusiasm yesterday after work spread that Germany had approved of France’s plans to allow the private sector to get involved but this vote is going to be really, really close.

Futures are been higher throughout the morning as most market pros expect the vote to pass.  Dow futures are up 50 points to 12,191; S&P 500 futures are up 7 points to 1,301.  The Nasdaq futures are showing a 10-point pop and are at 2,293.

Stay locked-and-loaded this morning because we could be busy with some NEW TRADES.  If the market breaks out, we want to take advantage of it.  Subscribers, check the Members Area for the updates.