Wednesday, 13 April 2016

Closing Brief

US equity indexes closed broadly higher for the second consecutive day, sp +20pts @ 2082 (new multi-month high 2083). The two leaders - Trans/R2K, settled higher by 2.6% and 2.2% respectively. Near term outlook offers continued upside melt.. not least with a looming Friday opex.



Closing hour action: it was one of those instances where you have price momentum continuing to cool, but actual prices continue to claw higher.

So, a second day of rather significant gains, and for now, there is zero sign of a turn.

Considering opex is this Friday, the market will likely hold together into the weekend.

As of late Friday/early Monday, the lower hourly bollinger band will be around 2050, where there will also be trend support. It will not be easy to get any daily closes in the 2040s.

... and that means a monthly close under the 10MA (2017/23) will be really difficult.

more later... on the VIX