Wednesday, 3 July 2013

Daily Index Cycle update

The US indexes generally closed fractionally higher, with the sp +1pt @ 1615. Despite a broad array of negative world news, with low holiday volume and a $5bn dose of QE-pomo, the market held together. Equity bears are still looking embarrassingly weak, in a fearless market.





When I saw the pre-market declines of barely 0.5% I was very concerned this market would see some of hyper-ramp, and even break the 50 day MA. Its not like we've not seen it before across the last four years.

The fact most indexes managed a net daily gain is pretty incredible in itself.

For those equity bears still looking for much lower levels, there is the small solice, that the market spent another day under the 50day MA, and that does count for something..but not much.

Its pretty clear now for Friday. Either we're going to break >1624..and close in the 1630s..or 1600 will fail, and that will begin a move down to the 1530s by mid July.

The US market is closed tomorrow - although the rest of the world will be open as usual. It will be interesting to see if Asia/Europe markets see further declines on Thursday/overnight Friday. Also of importance, will be how Oil trades.

a little more later...