Friday, 8 August 2014

11am update - making a break for it

Equity bulls are trying to make a break for it... to the sp'1920s. VIX has turned fractionally red, having again failed to break last Friday's high. Metals and Oil are both broadly flat.




*I again highlight the issue of the VIX/equity divergence. Despite breaking new lows..the VIX never could break last Fridays high of the 17.50s.  In some ways, you could call it a 'weeks early warning' of the next equity up wave.

So... 90mins in.. and 1904 has held, and we're trading way above the overnight lows.

I can only note again... cyclically speaking.. we're due a wave higher.

Eyes to the R2K... bulls should be seeking the 1130s to break trend... upside target after that is 1170.

11.18am.. pushing higher... we look set to close in the 1920/25 zone.. which would likely melt the VIX into the 15s.