Wednesday, 19 March 2014

10am update - opening chop

Equities open with some minor weak chop, ahead of the FOMC announcement at 2pm. Metals are weak, Gold -$10. VIX is a touch higher, +1% in the 14.60s. How we close today will likely give clarity on where we are headed for the next few weeks.



Little reason to get overly interested in any minor moves before 2pm.

Four hours until the Fed press release....

Equity bulls really need to break the VIX <14, or they have..a problem. Any break into the 16s..would be a provisional warning that we do have a H/S formation, and that we'll break <sp'1834 within days.

10.04am.. sp' trying to break a new high..but the trans pulling back....

10.12am.. Trans and R2K turn red.....

Kinda interesting...for the equity bears out there...the two leaders will be key. So long as no new highs are hit today...the H/S scenario remains a valid outlook.