Friday, 22 April 2016

12pm update - weak chop

US equities remain moderately mixed, with the two leaders - Trans/R2K, moderately higher, whilst the headline indexes - SP/Dow, and particularly the Nasdaq, remain leaning lower. Current price action arguably confirms that the 2065/61 gap zone won't be hit until next Mon/Tuesday.




Clearly, we're still leaning weak.. and headed for the sp'2065/61 zone.. which seems due next Mon/Tuesday. From there.. chop into the FOMC of Wed' afternoon.

Then.. either we see a sustained massive break higher - on a pure market delusion that the Fed can continue to walk the fine line....

or.. the market breaks to the 2050/40s.

*I'm still with the latter scenario... naturally.

A monthly close under the two soft lows of sp'2039/33 looks difficult, and those two lows are increasingly important in the bigger picture.

notable weakness, UAL, daily

Ugly chart... with a clear break of rising trend.

time for lunch