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U.S. stock futures tumbled on Friday, erasing earlier gains, after the latest batch of inflation data showed producer prices accelerated faster than some economists expected last month. Futures for the Dow Jones Industrial Average DJIA, +0.55% were off 158 points, or 0.5%, at 33,885 after the data, erasing an earlier gain. Futures for the S&P 500 SPX, +0.75% tumbled 21 points, or 0.6%, to 3,944, while futures for the Nasdaq Composite COMP, +1.13% were down 68.25 points, or 0.6%, to 33,885. The core producer price index rose 0.4% during the month of November, beating expectations for a 0.2% gain, while the headline PPI data came in at 0.3%, surpassing expectations for a 0.2% increase.
ridiculous call premiums, sellers jacking up prices for the Christmas Rally anticipationBullBear52x wrote:Day #3 of inside day. the wave guru will think wave 4 is likely a play here.
Thanks, Mr. BachNut. I always look forward to your views. By the way, I never truly appreciated Bach until I heard Yo-Yo Ma play Bach's Cello Suite No. 1 in G Major. And that captured me. Also Glenn Gould playing the Goldberg Variations.Mr. BachNut wrote:Rambling BachNut today...
The NYMO cycle has finally confirmed DOWN.
The benchmark at the up cycle high is SPX 3905.42.
The model gives good odds for trade to occur at or below the benchmark by the time the downcycle ends.
However, from time to time, these benchmarks get stranded for a few cycles, but all get closed ultimately.
We have an open down gap at SPX 3933.92 that is close enough to be magnetic.
There are other gaps above and below that a more directional market can address.
After piercing the 200 MA, the index found resistance at the declining tops line and has pulled back.
Importantly, the 11/17 low has not been broken. So, for now, bulls have a higher high and higher low.
Looks like a consolidation with a pop at November month end to me...
So, we patiently wait for Mr. Market to show directional movement.
That said, bulls kinda need to make a higher high to pass this test of the 200 MA and break that declining tops line.
It is a failure if they don't.
While we consolidate, the middle keltner band appears to be rising into the consolidation.
So, the bulls surge toward the upper keltner, starting last month, is looking wimpy at the moment.
Perhaps a second try will be on the menu.
Interestingly, the upper keltner is starting to fall while the lower keltner is rising.
The outer bands remain far apart, but the table is being set for something.
Next week is quarter end OPEX plus CPI plus FOMC. What fun...
I consider the last two weeks of the year to be seasonally bullish.
So, after the news clears, perhaps we get directional market one way or another.
We shall see.
I am flat. It has been weird lately with sudden big moves that have limited follow-through. CHOP CHOP.
My NYMO related swing setups have locked, not been triggered and cancelled a few times. Unusual.
The setups are teed up to short at the moment, but I don't know what will happen nor do I have confidence they will pay.