Monday, 16 May 2016

Closing Brief

US equity indexes closed significantly higher, sp +20pts @ 2066. The two leaders - Trans/R2K, settled higher by 0.7% and 1.2% respectively. Near term outlook offers further upside to the 2085/90 zone, before renewed weakness to at least the 2010s - where the 200dma is lurking. An eventual break <2039 remains due.



*closing hour action: a new intra high of 2071... leaning weak into the close, but nothing remotely significantly.

Well.. overnight saw moderate weakness, but for now, 2043/39 zone remains strong support.

Broader price action remains very choppy.. stuck in the same old 2100/40 zone.

Best guess.. regardless of any move to 2085/90 zone... a break under 2039 looks infinitely more viable than a break into the 2100s.

more later... on the VIX