consolidation here means to continue down, so bias still is down.
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koolblue wrote:Cash spx has now violated its "line in the sand" at 1767.99! wow!..that means the scenerio i laid out in the weekend update just went way up in probabilities. It also means this thing is free to turn and pursue the rally thats due at any time. Do they go all the way to 1750-52 first?
All sell stops below the December low are getting cleared out now.
I am wondering what the margin clerk is up to. Should know by the close.
The phone is ringing. It's the margin clerk on the line...
Short term 10min shows support in the 1750 area, and I found this old chart which shows some kind of support too. Applying a long term weekly to predict intraday moves is kind of gaga, but nevertheless....
"A few days ago Bloomberg made a big splash with a story about an unknown trader who was so enamored in the BTFD mentality, or for whatever other reason, that he sold a substantial $18 million in VIX calls, betting that the market downdraft would promptly normalize. Alas, while he may have pocketed the premium up front, since then things have not worked out quite as expected for the intrepid seller of vol. "
Or, as we used to say 50 years ago in the ol' neighborhood: STAB!
Daily/weekly P&F's can be very misleading for the short run. I don't have time now to draw a 60 min SPX, but whoever is at stockcharts can see how it looks in both trad and ATR (and publish it in Cobra's great forum...)