Despite the mid-day’s attempt to continue the rally from Thursday and Friday, bulls failed to sustain the momentum today. The tape on ES mini futures had a lot of bearish bets placed throughout the day. The market bumped into 2960 resistance and retraced back all of its intraday gains into the session close. Here’s what I see developing next.
Although the broader market is still flirting with records, the transport sector has struggled to recover lost ground—a potentially ominous sign for investors who believe transports need to rebound for the market to break higher. However, the last 10 years provide evidence that the bearish divergence between Transports and S&P500 does not necessary lead to market crashes.
The market started to sell off early in the week but staged an impressive bullish reversal on Thursday and Friday. The next week – especially the action on Thursday and Friday – will hold the keys to what will happen next.
This is definitely the trade of the week. Someone is expecting good things to happen into the year-end and he is betting a lot of money on the bullish break out. Let’s review this trade.
Today’s big theme is a bear trap followed by an aggressive squeeze. The question is – does this reversal mean the selling is over or should we still be cautious? Let’s dive in.
The markets sold off in a spectacular fashion today. The S&P500 broke below its 50d MA. Let’s review the market model and see what might be in store for indexes going forward.
Market performed a classic bull trap today. After disappointing bears twice last week, bulls got smacked on the first day of a new quarter. What is also important is that the market didn’t rally into the close. I also recorded today’s tape on ES mini futures: a lot of bearish bets made.
Ever wondered why there are so many orders on SPY for the same share quantity at the same exact price? Or how orders are coming in for $279 when SPY never traded at $279 today?
Today marks the end of the month as well as the end of the 3rd quarter of 2019. There are some very interesting developments taking place. I will review a lot of charts in today’s important update of the market model. Let’s dive in.
NAHILO is one of the indicators in my market model. This post will explain why I included this indicator in my model. This indicator is powerful and can provide amazing signals: buy, sell, divergences and break outs.