Friday, 22 January 2016

Closing Brief

US equities ended the short week on a powerfully bullish note, sp +37pts @ 1906. The two leaders - Trans/R2K, settled higher by 1.3% and 2.3% respectively. Near term outlook offers threat of an opening Monday decline, but then climbing across much of next week, probably to the sp'1970s, with VIX 18/17s.



closing hour action: mostly minor chop, with a touch of upside (short covering?) in the closing minutes.

.. and that concludes the short 4 day week.... which sure has felt a lot longer.

Suffice to add.. the hourly cycle is on the high side. There is threat of a opening Monday gap lower, but from there, we should still battle upward.

Prime bounce target are the sp'1970s.. with VIX 18/17s.

I find it difficult to envision sustained action >1980, as the monthly cycles are screaming bearish for February, and even more so... March/April.

Have a good weekend everyone.

*the usual bits and pieces across the evening, to wrap up the week.