11am update - Mr Market washing out the short stops

With the break into the sp'1770s, no doubt a lot of short-stops will be getting hit. On the flip side, a fair few were seeking 1770 as a re-short level. The rest of today could be tedious chop in the 1775/65 zone. VIX is getting crushed, -11%, as some believe a key floor is now being confirmed @ sp'1737.


sp'daily5

vix'daily3

Summary

Well, what do you think? Bulls have swung us from 1737 to 1770 in just 8 trading hours. Is that it, new index highs coming now?

I'm holding to the original outlook, but of course, we're now a clear 60pts from the target zone of 1710/1690 again.
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Everything will now be dependent on the jobs data tomorrow, but then, that is usually the case.

Notable weakness, TWTR -21.6%   


11.16am.. battle continues around the 1770 threshold.

No doubt some are launching major new shorts here - I'm aware that Knight, over on 'slope of hope' was one of those yesterday literally begging for 1770 to re-short. see HERE.

so...VIX is in the 17s...if the market gets trashed tomorrow..then we're looking at a VIX >22, which right now of course is borderline 'crazy talk'.


11.22am.. Bears need to break back under 1760 by late afternoon to have any initial hope that today was just a fake out - as is sometimes the case the day before a key econ data point.

notable strength: UAL +3.9%