Mad Monday Rub Down
This one is going to be quick as I’m not feeing so great today – either it’s allergies or it’s the Swine flu for sure 😉
Anyway, we expected a rally up but it pushed a bit harder than I had hoped for. We pushed well into the cluster of where a turning point must happen almost immediately – much higher than this and the short term bearish case is in trouble.
Today’s Zero signals were crystal clear. As you know I immediately smelled a rat last Friday when participation reduced to a slow simmer. And as expected we received a strong push back as scheduled. But this is not the chart that worries me.
This one is. The Oracle of the Daily Zero continues to paint that bullish fractal I’m all freaked out about. Today pretty much was two days in one compared with last time but this needs to start breaking down tomorrow otherwise we will push through the lines in the sand presented by Berk on Friday.
And this is step 2 of a buy signal (relative to equities) in development. If we drop below that tomorrow the bears are most likely toast again. Hey, wait – that’s us!
Program Trading Update:
evil.rat/NQ: -2.75 (ready to kick this one to the curb)
geronimo/ES: +2.5 (actually +5 but one signal did not go out – we think we fixed that, it started when we upgraded to the latest version – rolled back for now)
That’s it for now – enjoy the rest of your afternoon, rats – life is short.