Tuesday 20 December 2016

Santa will soon be here

US equity indexes closed moderately higher, sp +4pts @ 2262. The two leaders - Trans/R2K, settled higher by 0.7% and 0.6% respectively. VIX settled -4.0% @ 11.71. A Christmas mini-washout to the low sp'2230s still seems viable, before the next big multi-week up wave into 2017.




It was a very subdued day in market land, leaning moderately positive, as short term.. we've been a little oversold.

The daily equity MACD (blue bar histogram) will likely see a bearish cross late tomorrow/Wednesday, and that does offer a brief foray to the 2240/30s, before the next big surge into early 2017.

VIX remains especially subdued. At best, if sp'2230s, VIX 14/15s. The key 20 threshold looks out of range until late Jan/early Feb'... at the earlier.

Goodnight from London