The bulls summer is now wrecked by today's FOMC decision. The mere QE-twist extension to end'2012 will not be enough to prop this market up. Bulls can tout the $267bn number around all they like..its not new money. Its merely shifting from short/mid term bonds to long term.
The reality of today's decision will soon hit the market. First though, the 15min cycle IS still due to cycle UP in the next hour or so.
I plan to short at the top of the next 15min cycle..whether that's late this afternoon, or early tomorrow. I am now very pleased with the trading action today, the FOMC decision...bears should feel good.
In my view...its time for the bears to start deploying the infantry, tanks...battleships..and start launching some preliminary salvos.
PRIMARY monthly cycle target remains..sp'1150/00 by end July.
Indexes close to going +cycle on the 15min...we could rally for as little as 15-30mins.before a major snap lower due to...
As ever...good short-stops will solve a lot of problems.
UPDATE 1.25pm... SHORTED, via IWM, index puts.
So..now I wait. I am very content with my entry..equivilent to sp'1358.
First target. sp'1335.. , secondary 1305/00