Closing Brief

US equity indexes settled powerfully higher, sp +35pts @ 1987. The two leaders - Trans/R2K, settled higher by 2.3% and 2.4% respectively. Near term outlook is for continued broad upside.. beyond the 50dma of 2000, the 2020 high, and to the 2040/60 zone.. where critical resistance lays.


sp'60min

Summary

.. and the week begins with a day of gains that give full clarity that last Friday was not just a bizarre sporadic day of upside.

There is clearly going to be threat of a retrace in the immediate term... back to the gap in the sp'1950s... but I'd consider it an overly risky trade (unless you want a stop at 1990/2000).

Broadly.. market looks headed for the 2040/60 zone by end month.

The absolute core issue now is whether sp'1860/71 was a key washout.. or just an initial wave lower. We should know soon enough.

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more later... on the VIX