Wednesday 28 December 2016

Sunset on an old hope

US equity indexes closed a little higher, sp +5pts @ 2268. The two leaders - Trans/R2K, settled higher by 0.1% and 0.4% respectively. VIX settled higher by 4.8% @ 11.99. Near term outlook offers little to the equity bears, as even a retrace to the 2240/30s looks difficult.




The short four day week began on a moderately positive note, and it was more than enough to generate another pair of new historic highs in the Dow (19980) and Nasdaq comp' (5512).

Underlying MACD (blue bar histogram) for the sp'500 continues to tick lower. Its a case of the market consolidating sideways.. whilst short term momentum cycles partly reset from overbought.

VIX managed a notable third consecutive net daily gain, although the black-fail candle doesn't bode well for the volatility bulls. The 13/14s seem probable before year end.

As for hope...

Another part of the 80s has left this world...

Princess Leia's theme was always one of my favourites from the master that is Williams.

Goodnight from London