Tuesday, 11 June 2013

Daily Index Cycle update

The US equity started the week in a very subdued mood. Volume was light, and with no real news - or significant QE-pomo, the main indexes closed a touch lower. The R2K managed gains of 0.5%, although it was an anomaly last Friday, and was probably just catching up.




So, a very quiet day to start the week. A mere 9pt trading range on the sp' today, although we did break above what many considered to be an important level @ 1646.

Certainly the bulls haven't yet broken back into the more important 1650s, but that does still look very likely by the end of this week.

Underlying MACD (blue bar histogram) cycle ticked higher for a third day, and we are set to go positive cycle on the indexes this coming Thursday/Friday.

Baring a break <1598, the bears are in serious trouble, and there is VERY high risk of breaking the Bernanke 'reversal day' high of 1687 later this month.

*I exited (index Longs) right at the open, on the opening spike @ sp'1647, and frankly, I'm glad to be out. I will look for a better entry level across all of Tuesday

a little more later...