Friday, June 24, 2011

6/24 noon

Short-term: neutral until Tuesday/Wednesday when I'll short again
Medium: Bottom late August
The broad trading range market continues.  The last thing I want to do is make directional bets in a non-directional market.  The weekly trend is down but that allows for a good upside pop.  Tuesday/Wednesday are when I'll look for a top to short.   Yesterday's market was distorted due to government intervention, but the SPX 200-day was tested and held. 

I1 predicted the beginning of this trading range with an 8-day lead. 


  1. Steve,

    Any chance the lead does not exist anymore? If so, what does that mean in terms of I1 bottoming soon rather than topping?


  2. Without the 8-day lead today is an I1 bottom day, although the nominal bottom would be next Thursday. The lead predicted this trading range start so I would expect it to predict it's end as well.

  3. Hello Steve,
    I appreciated the terse summary of your stance at the top of this post.