Tuesday, 12 June 2012

Pre-Market Brief

Good morning. Futures are showing very moderate gains of sp+3..so, we might open around sp'1312 or so.

*There is no major econ-data today, next major data is retail sales tomorrow morning.



So..what lies in store for this nasty market today? Yesterday saw carnage for both bulls and bears alike. Yet, from a cycle perspective, the daily/weekly are still suggesting UP...and the 60min cycle is now pretty low.

With retail data tomorrow - if it came in a little weak, we could still in theory slip to 1300/1290, before a final C'wave up.

The plan today..I'm honestly not sure...I can't go short, we've already seen a considerable move lower, and besides, the primary target remains... sp'1350/60. Similarly, the thought of going long at this stage sickens me.

One thing is clear, VIX must not go back above 26, or it would likely mean new wave'3 is underway already. I'm still guessing we have to wait until at least next week for the first opportunity of that.
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