Wednesday, 13 December 2017

3pm update - the Yellen continues

As Yellen continues to answer questions, US equity indexes remain moderately higher, but the bulls haven't yet been able to break a new intraday high. VIX remains in the upper 9s, but a sporadic burst to the 11/12s remains due. Metals are broadly higher, Gold +$9, Silver +2.0%, with Copper +3 cents to $3.06. Oil is -1.0% in the $56s.




As Yellen continues to utter the occasional 'transitory' and 'when conditions merit', the US market is choppy. Cyclically, the micro 5/15min cycles are both on the high side, and the market will be inclined to cool into the close. Thursday has typically favoured the bears, so tomorrow should be interesting!

notable stock: MU, daily

There is s/t threat of a test of the $40.00 threshold. Keep in mind, earnings are due next Tuesday, and there will be a great many buyers on every little down wave. I'm m/t bullish of course... way beyond $50, which is a valid target before year end.

notable strength, miners, GDX, daily

Gold saw a jump on the rate hike, but s/t, it was cyclically oversold anyway. The trend into year end still looks rather ugly. For GDX... huge multiple aspects of resistance in the mid/upper $22s.

strength, CAT, daily

Underlying super strength, and trading at new historic highs. The 225/50 zone is on the menu within 12-18mths, not least if copper (a good indirect indicator) is near the $4s.

back at 3.30pm for a micro update...

3.30pm... Most indexes are set to close a little higher. The micro 5/15min cycles do favour the bears into the close, and more so... tomorrow. At best, 2646/36 gap zone... before pushing into the 2680s, whether just before... or after Santa delivers.

notable weakness, X, daily

US Steel is set for a second net daily decline, but is broadly strong.. after a recent break >31. 

strength... BABA, daily

... Broadly chop-consolidation.... bullish way >200.

back at the close!