Technical Outlook:
- SPX is seeing a disaster sell-off taking place right now.
- Every support level we have been watching of late has been shattered. Support at the 1900 level also looks to be challenged here at the open.
- Consider this, SPX is looking at going under 1900 today, when at the close last Monday it was at 2102.
- THIS IS NOT THE TIME TO BUY THE DIP, BE THE HERO, TRADE BIG, OR CATCH THE FALLING KNIFE…..PERIOD.
- I say that because, fortunes are being lost, and this is not a typical market scenario where you should be looking to buy value. Instead this market is acting as if it wants to teeter on possibly crashing.
- With that said, there will at some point be a massive rally, but that could happen after the market drops another 1%, 5% or more than 10%. The point is, let the market show you FIRST that it wants to bounce. Don’t force your will on this market.
- The October lows after 1900 is the next support level for the market, at 1820 on SPX.
- VIX will easily see the 30’s today… possibly even the 40’s.
- T2108 hit 18.1% on Friday. Very good chance it hits October’s lows at 13%.
- Today SPY is looking at its 10th straight gap down in the market.
- It stands to reason at this point that the Fed will not raise rats in September – possibly not even this year.
- Lots and lots of volume pouring into the market right now. More than anything we’ve seen since last October.
- A view is emerging that a rate hike in September might be off the table. Today’s Fed minutes may shed more light on this area.
My Trades:
- Did not add any positions yesterday.
- Did not close out any positions yesterday.
- 100% cash
- I was out of this market on Thursday and I haven’t gotten back in yet. At this point trying to swing-trade the market with the HUGE overnight gaps, is a risk that is absolutely not worth taking. I am looking at not keeping any trades overnight, for now.
- Join me each day for all my real-time trades and alerts in the SharePlanner Splash Zone
Chart for SPX:
