Monday, 2 May 2016

Closing Brief

US equity indexes closed broadly higher, sp +16pts @ 2081. The two leaders - Trans/R2K, settled higher by 0.7% and 0.9% respectively. Near term outlook offers renewed downside to the 2040s. A daily close in the 2030/20s will be really difficult, along with a VIX above the key 20 threshold.



*closing hour action: So much for cooling into the close, as the market made a new intra high of 2083.

Overall though, a pretty quiet start to the week, despite all sorts of negative news out there.

Clearly, it remains the case that the rebounds are very strong, and regularly recover most of the declines.

As noted last week, until I see a daily close in the sp'2020s, I won't have any real confidence that 2111 is a key mid term high. After today's gain, attaining a daily close in the 2020s looks damn difficult this week.

Perhaps one of the finest endings to almost any film of the last decade...

".. the truth is........ I am Iron Man". Stark, T. (2008).

.. and that made for far better viewing in the closing hour, than the cheerleaders on clown finance TV.

Meanwhile... the technology for the Green Goblin is almost complete...

more later... on the VIX