The NYMO cycle remains unclear.
We continue to coil around the zero line.
However, this morning we are making a lower low after making a higher high.
So, a down cycle may have begun.
Pricewise, we have two gaps above. None below.
The nearest one missed closing on Thursday by half a point. Treacherous...
Friday's close was below the 200MA, which is bad. Another test has begun.
Bears want to break the January low, which would be ugly, and bulls want to break the February high.
Between Russian invasions, Fed meetings and chatter, OPEX and everything else going on, I couldn't be more clueless as to what will happen.
I remain long the R2K with one profit unit scaled. Friday was unpleasant, but this index isn't exactly crumbling... yet.
I remain neutral the SPX holding short and long.
Short setups are percolating for both contracts. So, action ahead could have me reverse the R2K position and unhedge the SPX position.