Friday, 25 November 2016

A third week for the equity bulls

US equity indexes closed moderately higher, sp +8pts @ 2213. The two leaders - Trans/R2K, settled higher by 0.5% and 0.4% respectively. VIX settled -0.5% @ 12.37. November is set to settle strongly bullish, and regardless of a fed rate rise in Dec', broad upside into 2017 appears probable.




It was a half day of trading, with the market naturally trading in holiday mode. Equities opened moderately higher, but it was more than enough to generate a quartet of new historic highs for the Dow, sp'500, nasdaq comp', and the R2K.

VIX remains very subdued, stuck sub-teens. At best, a test of the 50dma in the sp'2160/70s in first half of December, which might equate to VIX 16/17s. The key 20 threshold looks out of range.

Goodnight from London

*the weekend post will appear Sat' 12pm EST, and will fully detail the US weekly indexes