Thursday, 22 October 2015

10am update - opening gains

US equities are trying to build significant gains, with the sp' back in the 2030s. Equity bulls should be a seeking a daily/weekly close in the 2040s. VIX is naturally being crushed back lower, -7% in the 15s. USD is building sig' gains of 1.0% in the DXY 96.00s.


UUP, daily


*the gains in the USD are unquestionably a result of Draghi alluding to further QE. Again, a higher USD will not be good for the giant US multi-nationals. For now though.. its mostly all chop until a break/close >DXY 100.

We have a rather interesting day ahead, not least with further earnings at the close.

A daily close in the 2040s would give high confidence that a test of the 200dma is due next week.

Eyes on the Nasdaq... and China.... they are likely to offer first key signals of a hyper-bullish breakout.

The equity bears are running out of time.... if not already.

RE: Oil, +1.6%.. at the current rate, it will take a good 3-4 days to turn positive MACD cycle... for the  next chance of a break >$50.  I remain LONG-USO.

10.02am.. and here are the sp'2040s.

Leading indicators -0.2%... pretty lousy...
Existing home sales 5.55 million... rather good (well, relatively).

... and here comes Hillary on Benghazi.  That is bullish, yes?