Good morning. A moderate rally across the morning seems likely, whether it can continue all the way into Friday..that is now the issue. Oil is significantly lower, along with the metals...not least helped by a significantly stronger USD. VIX is largely unchanged.
Best guess is we see a bounce into the mid 1560s.
After yesterdays action, I'm finding it hard to envision we make a play for 1576. It is possible, but I'm...guessing....no.
Thus..I will look to short the indexes later today, probably around 1-2pm
*updates across the day, and I'll certainly note, when I start hitting buttons for a major re-short.
1561/62 already..and we're barely 35mins into the day!
On balance, i do NOT see 1576 being challenged.
Lets just see how the next 2-3 hrs play out. Bears need to give the bulls a few more hours at least.
Look for VIX to find support around the 13.60/50s.