Futures are solidly in the green this morning after only a 23.6% minimum Fibonacci retracement of the move from 3/6. This is potentially quite bullish, but what is needed is confirmation in the form of follow through. A failure to rip higher would be a major tell.
The point is that "some other pattern" is still in development and until the market moves higher or lower into a zone that shows more of an extreme, I'm not willing to guess just yet. Yes, VIX is very low and options are cheap. But they will get a lot cheaper and the odds a lot higher when the market tilts one way or another. Right now, it feels too much in balance for me, like it's doing yoga or something.
Better levels would be the 1351 area below and any weakness above 1378.04. These are not targets per se, but areas I'm watching at this point.
Nice algo synchronization today.. maybe key level closes across the board? I certainly won't stand in the way of 1380 spx, despite RSI divergence and lack of volume, but i won't join the new world order either. I still think the timing of your trip is great! And you will know by the price of fuel how the market is doing without ever turning on your radio or laptop : ) k
ReplyDeleteha, true true. sad but true. and probably all the best key level closes will occur on a stretch of backroad somewhere in rural ohio sometime friday -- i'd rather have your version & hope you're right.
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