Last Chance For The Bears
Exciting times lay ahead ladies and leeches! Equity futures have now progressed to our final inflection point near the 2k mark, it is right here where the grizzly bear may hand the torch back to the raging bull from hell. As in all things timing will be of essence and being proven right tomorrow doesn’t mean much if didn’t get positioned today. As of right now there’s little movement in the futures but DarthMole suggests that volatility is just about to explode on the S&P E-Mini. So what the heck are we waiting for?
Well, it never hurts to consider the long term picture as well. Which I may add is what got me pretty jazzed up this morning. As you can see both the weekly and monthly panels have us pushing into Net-Line resistance right now – we have a daily NLBL at 2011.75 and there’s a monthly NLSL at 2013.5. That, my dear market maniacs, will be the final chance for the bears to inflict some major damage and run the tape all the way into the new year.
Quite frankly I have grave doubts that they’ll muster the mojo. See above the Thursday and Friday sessions courtesy of the Zero indicator. Very little bearish evidence here – the bulls ran this thing higher per the book. But – that said, when presented with an inflection point of such magnificent proportions I consider it my patriotic duty as passport carrying flag waving pistol touting Ketchup squirting red meat chomping cheesy t-shirt wearing paranoid American citizen to speculate the living heck out of it and then brag about it later to everyone willing to listen.
So let’s see what we got on the menu today. The daily and hourly panels are a bit in limbo now which is what most everyone is usually looking at. Good – more hapless victims for the taking. Thus my devious plan for today is as follows:
- I am short right here with a 1R futures position. In addition I’m grabbing some OTM lottery ticket puts on the spiders given that the VIX is back at 18.5.
- All bearish allusions pretty much hit the wall around 2013. My stop is a bit above that but if hit I may consider re-entry if I see sudden weakness. So watching the Zero for divergences will be essential. <shameless plug>If you’re not a sub just yet then I strongly recommend you spring a few bucks and join the club.</shameless plug>
- Long positions are a go above 2013 if I see bullish momentum on the Zero.
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