Friday, 1 June 2012

2pm update - market really struggling

The market breaks the sp'1280 level, so low 1270s/60s would appear likely early next week. The cycle target of 1225/00 seems very viable within 5-7 trading days. VIX still weaker than it should be, but its just broken a new maybe we'll just keep on falling into the close?




I can't re-short with the 15/60min cycles as they currently are, there remains significant risk of a 1% bounce at any hour - as we saw only yesterday!

If we don't rally at least to 1295..I think I'll sit this out until next Monday. We could easily gap up 1% at the Monday open - whether for 'technical oversold' reasons or for some baseless nonsense rumour.

Bears merely need a close under 1300 to confirm the main daily trend, and besides, the monthly cycles are all warning of much lower levels to the low sp'1100s anyway.