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... Crash Gordon

Hi Red

Are you no longer expecting a sell off before the weekend then and more upside into Opex next week?

... Earl of

Tony just said: This whole correction continues to be a mess. Hard to tell exactly where we are.

Earlier today, Carl Futia (who always offers a range estimate for the day) said: I can't offer a range estimate that I have any confidence in today.

Futures are running up as I type this.

Why am I not in cash?

... Earl of

dreadwin, that hammer last Friday should have done more (to the upside in the days following) than it did. I switched to TZA for tomorrow, though the futures (as I type this) say I'm wrong.

... Earl of

Nice chart. Looks (to me) like VIX wants to go higher.

Looks can deceive me 🙂

... dreadwin

See VIX chart in other comment.

And also:

http://www.screencast.com/users/dreadwin/folder

I do agree about the warning signs regarding lower lows and lower highs. However, compared to the other indexes, $RUT looks pretty good! $RVX has not even touched its 200 day moving average.

I am expecting the triangle to resolve tomorrow. I have no idea which way it resolves, but the $VIX suggests that equities could go up. I did say that yesterday, too. I was at least half-right.

... dreadwin

The VIX still looks bearish to me. At least for tomorrow. Will it bounce? If it is going to do it, it has to do it soon. Really soon.

http://www.screencast.com/users/dreadwin/folder

If the RSI on the VIX closes tomorrow at 50 or so, I think that trendline I have (badly) drawn gets broken. What does that mean? It means no P3 before opex. In my opinion, of course.

... henry

GREAT SITE AND GOO INPUT. I am learning quite a bit from your blog and look forward to trading the same wave with you!!

... Red Dragon Leo

I'll have tonight's post up hopefully by 10pm est., with lot's of charts… and then you can decide which direction we're going?

... bensjoyce

currency trader Jason Jankolvky (?sp) on forex tv states that the highest reading ever for short Euro positions ever recorded.

He thinks the top in the dollar is in.

If the Euro rallies strongly then this indicates that stock rally.

BUT, can't they wait a couple of days?

... Earl of

Gcocks,

TZA is starting to look interesting again. If I can get the closing price ($10.92), I'll pick up some after hours.

Edit: futures ran up a bit after hours and I now have some TZA at $10.90. We both have some now. That's probably not good 🙂