Wednesday 15 July 2015

Closing Brief

US equities closed a touch weak, sp -1pt @ 2107 (intra high 2114). The two leaders - Trans/R2K, both settled lower by -0.7%. Near term outlook is bearish to the micro gap around sp'2080... along with VIX 15/16s. Broader upside into August still looks probable.


sp'60min



Summary

*closing hour certainly saw some weakness, but nothing significant.
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Awaiting earnings from INTC and NFLX
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So.. the Greeks helped break the market lower, and the initial wave from sp'2044 is likely complete.

By late Thursday, rising trend will offer support around sp'2085...  so a gap fill around 2080 won't be easy.. but is somewhat more likely than not. If sp'2080s... that will likely equate to VIX filling the price gap in the 15/16s.
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*I hold long-VIX overnight... seeking an exit in the 15/16s.
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4.04pm.. INTC beat... stock soars..


 EPS 55 cents vs 50 exp.   Rev' beat.  Nothing bearish there.
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NFLX, EPS 6 cents vs 4.  rev. missed..

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So.. yours truly decided to drop INTC ahead of earnings yesterday (fractional gain), and has missed out on a 200% options gain. I suppose it could be worse.. I could have been short it.
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more later... on the VIX