Tuesday, 23 February 2016

Closing Brief

US equity indexes closed broadly weak, sp -24pts @ 1921. The two leaders - Trans/R2K, settled lower by -1.3% and -0.9% respectively. Near term outlook threatens the 1905/00 zone, but with broader upside to the 1950/60s. The real issue remains whether the market will be able to claw to around 2K by mid March.



*closing hour action: a new intra low of 1919... 2pts above the lower end of the 1924/17 gap zone.

Not a great day for the equity bulls... but neither a dire one.

Considering Oil declined by around -5%, equities held up relatively well.

What should be clear, the bigger daily/weekly charts are still offering further upside into mid March, before the next grand rollover.

.. and it remains the case, that in theory.. the next rollover should be far more severe than that of late Dec/Jan, or of last August.

more later... on the VIX