US equities continue to build rather significant gains, with the weekly candle now looking very definitive, and giving clarity that the sp'1940/70 zone will be hit in first half of February. VIX continues to melt lower, now -9% in the 20.30s.
Naturally, I am already looking ahead, not just to next week, but even a few months beyond that.
The market has now battled upward by a very impressive 116pts (5.8%) since last Wednesday's low.
Clearly, we're over half way there in terms of a bounce/counter rally.
Indeed, now we're just 1% from lower end of the target re-short range of 1945/70s.
Right now. I remain highly inclined to scenario'2. If that is the case.. we'll hit 1940s next week.. a minor retrace to 1920/10s..and then up again.
Yellen is speaking Feb' 10th and 11th. Either of those days would make for an interesting top on the daily/weekly cycle.