Before another move higher. I think this chop is big money and whomever else re-positioning a lot of money for the beginning of the year. After yesterday's impressive kick save of the markets and without the breach of the $320 level on Spy i think we're consolidating before a move somewhere, and i'm leaning towards the northern direction. This sideways chop is also working off some of the "overboughtness" in the market to let things cool off. IWM, and SPX look like we're bull flagging (IWM more than SPX) and any dips are being wicked. I do not for one second trust this market to not drop the hammer on us so a decent hedge would maybe be metals and T bills. (GLD, TLT, SLV). Also, BBands are tightening as well on most timeframes which usually preclude a move.
Objective short entry would be an impulsive move below the $320 level on high volume, watch for fakeouts.
Banks are still bleeding for some reason, but they also have earnings coming up by EOM. That also may be traders pricing in ANOTHER rate cut by EOY. Look for individual names that are pulling back. Net net i am expecting some volatility once earnings gets in full swing.
This is not trading advice, this is for entertainment purposes only based solely on my personal TA.
