Thursday, 12 November 2015

10am update - I love my bear flags

US equities open lower, with the sp' taking out the 200dma (2064)... the 2055/50 zone looks highly probable today. Metals are seeing some swings, with Gold turning +$4. Oil remains broadly weak, -2.2% in the $42s.. .ahead of the next inventory report.




The market had formed an essentially perfect bear flag across the past 3 days, and that has been absolutely confirmed today.. with a very decisive break lower.

.. and that is why I try to focus on style of price action, but even more so.. price structure.

The sp'2020s remain a valid target for early next week. Sustained action <2K looks out of range... as the broader trends are back to bullish.

notable weakness...

FCX -3%
CHK -1%
TSLA -1.7% in the $215s... nothing good there

Price action is pretty wild so far today... big % swings... but broadly weak.

Busy day ahead.... not least with the EIA oil report (11am)... and further Fed officials babbling about interest rates.

stay tuned!