We had 2 days of consistent selling in the Equity Markets. Today we closed near or at the lows in #SPX and #NDX. My systems are not reading enough divergences nor volume inflows at current levels. Regarding Current Positioning – We are with high levels of Cash and low VaR
Nobody can know with certainty if we will trade lower or higher from here but large players are not been as active as I expected given the price variance vs last week close. Volume is relatively low.
We have closed the SPX GAP and P/E charts show that value can be found at 2850 in SPX. Now the SPX is at 2887. We are trading at a 5% correction from all times highs.
I cant say much about the future direction yet, on the other hand, I believe that VIX should remain at or near yesterday closing princes for a few days