A micro down cycle, but the market just bounces right back. Bears face persistant problems from the QE, a close in the 1650s looks pretty easy for the bulls. Metals are holding gains of around 1%, Oil is surprisingly weak, currently flat on the day.
A slightly messy morning. Bears teased with a small 6pt drop..only to then see it all reverse within a few minutes.
From my pespective its this simple.
1. utterly crazy to short the main indexes..after yesterdays bullish turn in the weekly cycle.2
2. overly risky to chase higher..and go long. Prefer entry 1625/30.
As it is, 1625 now looks off the table, and if we close in the 1650s, then 1660s are an easy hit by late Wednesday.- when the FOMC minutes are released.
So...I'm just sitting back.
11.13am.. I've no idea why, but the Transports is exploding higher.
Thats a massively bullish move, and opens up the big 6600 level, which if hit..opens up 7000s..'fast'