12pm update - H/S formation.. bearish!

With the VIX still holding up well (it was even green earlier - a real warning to those bulls going long this morning), the sp' index appears to have a new H/S formation. I should have perhaps identified it a bit earlier, so I am somewhat annoyed with myself again, urghh!

If the formation is correct, it would imply there will not be a daily close over sp'1335/40, and then bears should seek a break below 1310/00 within days.


Sp'60min  H/S formation

Vix'60min

Summary

I remain short (from sp'1319), riding out this annoying minor rally, first exit target 1300/1290. That could still be hit by this Friday close, but if things get choppy, I might have to hold into next week before my next exit.

I still plan to short every bounce/spike all the way down to sp'1150/00 across all of July. I will NOT get rattled by this kind of nonsense that we've seen this morning.

So, those bears holding on right now should merely button up their flak jackets, sit back..and wait.

More across the afternoon.