Thursday, June 9, 2011

6/9 noon

The market reached oversold at the close yesterday as reflected in the Daily Technical Composite.  This will require more than 1 day to relieve the pressure.  I exited 2% SDS at 22.08 and re-entered at the DJI critical M/A.  SP futures 30-minute M/A will only be broken by a 30-minute close higher than 1289.  This will indicate the rally will probably extend into tomorrow and relieve the oversold condition.

1 comment:

  1. Hi Steve,

    You think tomorrow will relieve the oversold conditions?

    What odds do you give the rally to extend into next week, even as long as OPEX on Friday?

    I know I1 is headed down now, but at times there's been a lag between I1 and what the market does. Do you have any sense of whether there's a lag right now and/or whether a lag might develop?