Friday, 11 January 2013

11am update - stuck under 1474

Mr Market is still stuck under the mid-Sept QE high of 1474. Of course, the Trans/R2K are already well above that level, but still, with the VIX apparently floored...perhaps we'll get that 'minor retracement' after all. This market remains.....annoying.

sp'60min4 - retracement



On the hourly chart, there is a clear up channel, bears need a close <1465. Even that seems ''difficult'.

Right now, the VIX daily chart is probably the one thing those still seeking a retracement should be focusing on.

A brief VIX spike into the low 16s would still seem a 'reasonable' target, which in theory, should equate to at least sp'1445/40.  The daily chart/lower channel would permit 1425 - at the end of next week, and still do NO damage to the bullish mid-term outlook.

Metals are weak...not far from breaking what are significant multi-month lows.