Wednesday, 27 January 2016

10am update - opening weakness

US equities open moderately lower, but there are already signs the indexes are set to turn positive as the day proceeds. VIX is naturally higher, but only by 2%.. and looks set to turn negative. Gold -$4. Oil is -0.1% ahead of the EIA report.




For those equity bears hoping we are going to unravel <sp'1800 in the near term... price action/structure sure doesn't support it.

Yes we're lower, but neither the daily/weekly cycles are setup in a way that offers opportunity of sustained downside before mid February.

As for AAPL...

I've seen this picture before, and the setup does not favour the bears. The $105s look very viable.

time to cook...   back for the EIA oil report at 10.30am

10.23am..  Dow -155pts...  VIX +2.6%.....   that tells the story.

10.31am.. EIA,  inventory build 8.4 million surplus...  another dire amount...

Oil is -1.3%... but threatens to turn positive later today.

sp -12pts @ 1890....  I'd guess we'll close net higher today.

notable weakness...

AAPL -5.6%
NFLX -3.3%

10.37am.. Rogue print on the VIX of 24.38....     as ever.. . curious