OCT 30 INDEX UPDATE
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Short-term technical readings:
DOW - lower midrange
SPX - lower midrange
OEX - lower midrange
NAZ - lower midrange
NDX - lower midrange
VIX - upper midrange(inverse to market)
NAZ NET NEW HIGHs-LOWs = NEGATIVE 30
If the market was to continue straight down, I would get CLASS 1 BUY signals in 2-3 days. Not predicting that it will go straight down, just giving a reference.
The DOW/SPX/OEX today did set slightly LOCAL LOWER LOWs, by slightly breaking below the minor lows of 7 days ago. Not that it says the market is going alot lower, but its fair to say that it is a hint that there should be more downside.
With the overall market down significantly, volume increase some today, which is hinting that the selling could continue. Again, Im not saying crash, just some more downside.
Although I do not try to predict the market day by day, I will mentioned that the 3-DAY PATTERN is still in progress(DOWN-DOWN-FLAT). So if the market follows the 3-DAY PATTERN, tomorrow should be flat/slightly up. If the DOW/SPX/OEX is down significantly, then it could possibly be a 3-BLACK CROW, depending on tomorrows candlestic.
Again not predicting, just giving an if-then senerio.
Im still holding the JAN 04 25 CALL LEAPs which I already sold calls against it starting around 33.75 on the QQQs. I will probably cover those calls I last sold(NOV 30's for 4.10) when the NDX gets to CLASS SELL territory.
Per the previous update, still holding onto my belief of a trading range for the mid-term(30 days). |
