Saturday, 21 January 2017

The new era begins

US equity indexes closed moderately higher, sp +7pts @ 2271. The two leaders - Trans/R2K, settled higher by 0.7% and 0.5% respectively. VIX settled -9.7% @ 11.54. Near term outlook offers broad upside across the next 2-3 weeks.. which should equate to Dow >20K and sp'2300s.




... and the Trump era has begun.

Naturally, as it was opex - along with the inauguration, price action was just moderate chop.. but clearly leaning to the upside. New historic highs >2282 look probable next week... along with Dow 20k.

Its notable that even without Dow 20k, the VIX is back in the 11s again. 10s look due next week. A curious thought it whether we might finally single digit VIX.... last seen Feb'2007.

In any case... whatever you think of Trump.. a new era has begun.

Goodnight from London

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