Breakouts are galore in U.S. equities. Of the three major indices, the S&P 500 and the Dow Industrials have managed to push into record territory. The Nasdaq is a laggard – yet to get past early-March highs. Ditto with the … Continued
Non-commercial futures traders’ bet in recent weeks on a declining VIX was spot-on. Toward the middle of March, these large speculators were net short a mere 1k contracts. VIX (spot) was around 15 at the time. Technically, there was room … Continued
Unlike in the past when equities have shown a strong correlation with each other, increasingly they are marching to the tunes of different drummers. Consider the DJI. It has flat-lined for five months now, and it feels like it is … Continued
After having flashed decent enough of a signal last week that volatility was ready to move lower – hence higher odds of higher equity prices – the VIX has indeed pulled back. Equities are rallying; volume could be better, but … Continued
Going by action on the S&P 500, Russell 2000 and Nasdaq 100, non-commercial futures traders have been gradually cutting back on their net longs for a year now, but they are yet to get aggressive in raising their short bets. … Continued
It increasingly looks like the market wants to move higher – at least in the near-term. The past several days, it has been choppy, a lot of back-and-forth, marked by dojis (on a chart). Today was no exception – opens … Continued