Monday, 20 October 2014

1pm update - still in a holding pattern

Equities remain within a holding pattern, battling to find a direction. Resistance remains the sp'1900/05 zone, with near term support of 1880. A break <1880 would open up 1815 or so, within 2-3 days. VIX is showing no market concern though, -10% in the mid 19s.



Right now the notion of a sub'5th remains very marginal.

Any daily close much above 1900/05 will negate the scenario... but... let me be clear, the broader outlook would remain bearish.

Notable weakness, Nat Gas, -2.5%, having lost the key $3.70 support level.