sp'60min
vix'60min
Summary
So..we're still holding gains, but its nothing of significance. Arguably, the very best the bulls could hope for - by late tomorrow morning, is a back test of the old broken 1770 floor.
Regardless, bigger cycles remain bearish, highly supportive of a further wave lower to 1710/1690.
No doubt the monthly jobs number - this Friday, will greatly determine whether we get down to there. Market is seeking net gains of 181k, which frankly seems bizarrely high. With many getting laid off - post Christmas sales, considering Dec' was 74k, I'd not be surprised at a net decline, although we've not seen that since mid 2010.
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VIX update from Mr T.
Hmm..so..the market is expecting a lower VIX, but that would imply no lower than sp'1740 in the current cycle, and I can't go with that outlook.
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time for tea :)
12.23pm.. VIX trying to floor in the mid 18s. We have a pretty high chance of a turn by the usual time of 2.30pm. Equity bears should be gunning for a fractionally red close, which will set up another push to near the 200 day MA.
*..yes yes, the Dow has already broken the 200 day MA, but I try to look at the indexes as a collective, rather than cherry pick the most bearish..or even..the most bullish.