There was a slight expansion of volume as stocks printed an inside day yesterday. Price could be waiting for direction until 7:45 am EST Thursday when Draghi makes his big ECB announcement.
Still seeing enormous put/call ratios in the options markets as buyers seek protection. Puts on the OEX, for example, were being bought as much as 11 times calls yesterday. That's a lopsided market that might suggest over-concern for a decline, or over-concern for large stock portfolios. Difficult to say.
While there could be some volatility surrounding Thursday's ECB decision and Friday's NFP number, the structure of the market would not change unless 1814.36 was broken, though anything below 1900.53 would be an early shot across the bow. And if the market closes above 1925.88, the next level of Fib confluence is 1950.41- 1951.06.
What does suggest caution is that social mood seems to be topping along with price. Would you believe that there is now a top level domain extension -- you know, like .com -- that is telegraphing a peak in social mood? It is .luxury.
Ex-Bankers Upgrade the Good Life to Get a Violin-Shaped Pool
So not only have stock brokers become "wealth managers," and some reporters have re-branded themselves as "wealth reporters," social mood has stretched so far into the stratosphere that former Lehman bankers have risen from the ashes to give the Fed-induced mania its own special address.
Does anyone see the irony in Ex-Bankers being behind this? Didn't they learn?
The full article is a fascinating glimpse into the current zeitgeist that echoes Wallpaper magazine from 1998-1999 at the height of the tech mania. For example, see A Socionomic Blast From The Past