Saturday, 1 October 2016

Q3 ends on a positive note

US equity indexes closed broadly higher, sp +17pts @ 2168. The two leaders – Trans/R2K, settled higher by 1.2% and 1.1% respectively. VIX settled -5.2% @ 13.29. Outlook for early October is bullish, with the bigger weekly/monthly cycles both offering the 2200s.




Cyclically, the market was due some choppy upside today, but even I was surprised to see the sp'2170s.

Ohh how quickly the 'spooky news' about DB was shrugged off, and it was quite amusing to see many chasing Deutsche Bank (DB) back into the $13s. Cyclically, DB looks set for the $15/16s in the near term, but what kind of maniac wants to get involved in that trade?

As for volatility, with equities higher, the VIX was naturally in cooling mode, trading in the 12s for much for the day.

*The market looks vulnerable next Monday to sp'2155/50 - with VIX 14s, but we should still see another net weekly gain, as a break to new historic highs in the 2200s are due.

This is an intraday update from Riley, but the issues raised about next week are important.


Fed/market chatter from Schiff

 Q3 comes to a close...

Sun down in London, 1.20pm EST

Goodnight from a somewhat chilly London

*The weekend post will appear Sat' 12pm EST, and will detail the world monthly indexes.