The last time I had posted this graph I had mentioned one of my rules to not change trend lines around which I had "violated" here once but kept the same after that initial change. Glad to see those same lines working well here. Center line used as a quick stop that should give enough support to bring us back into the first area of resistance around 898-903. We could get very lucky and possibly see the 907-912 range here but I doubt we will make it this far.
Here is also on update on the VIX showing a new reversal. As you can see my old triangle line was violated just to get reversed within 2 days. I added a secondary line here showing that it still falls within the overall pattern if you include the new year buying craze.
Here is another view on the 60-min. To recap - we have 3 targets, 898-903, 907-912, 918-920. It is my feel that this rebound should be over quick - it could even be over before the day ends today so look for early signs of reversal here.
I had closed all my short positions yesterday and am looking to re-enter soon. Will probably add first chunk at 898 and continue to add as we go higher. Keep in mind today is Friday and we will have a long weekend ahead of us here. Its going to be very telling on how the market holds up here in the last 1.5 hours of trading today.
Regarding twitter. The blogger gadget had caused some web site issues. I will be looking for a new gadget to add so for now I will keep position updates here in the comments.
Chris, Thanks for all your hard work.
ReplyDeleteIf we sell off in the last 1.5 hours of the day...how would you see this going into next week?...would it indicate more downside nxt wk or possible rebound nxt wk?
long holiday weekend. To be honest I would expect a low volume tape run higher all day. Potential to have a stepping day yet again.
ReplyDeleteI had closed my positions fairly close to the bottom yesterday. Worst case scenario is re-entry at the same exit price. Best case a run towards 898+ .. if we do get a tape buying step day again today I will be waiting till the close and add shorts after 3:00 in 15min chunks (time based entry and not price based entry).
Thanks for the response Chris.
ReplyDeleteIve been reading around and theres talk of a possible move up next wk? depending of course how we close today....wasnt sure what to make of it but thought id mention it.
Been waiting patiently for soooo long..lots of pain from previous trades so hoping the wks ahead can give us all something to smile about.
Good luck to you and to all of us.
Appreciate all your work, please keep it coming.
No impact from BankUnited?
ReplyDeleteok this was a bit unexpected. The market is finally moving into the direction I have been heavily trading against and I am 100% flat.
ReplyDeleteThats what I get for being a scared bear.
ok waiting for one more push here before we stall out. 898 should be hit today.
ReplyDeletehave we turned this into a stepping day after all? We shall see bit its looking like it may be playing out as we have no sellers in sight.
ReplyDeleteUsual low volume up run before a long weekend/holiday and a gift to anyone wanting to get a nice short entry.
I added some shorts here. will add more later cheaper or expensive.
ReplyDelete