Using the short call diagonal to feed the Bear with zero downside risk.
“Railroad Tracks” are setting up on the S&P, showing that we’d expect to see about a 70 point move which will start at any time now.
Is the 38.2% Fib retracement the “high water mark” for this bounce? Watch the smaller timeframes for a polarity change first.
A very weak afternoon – will this create the required “higher low” in the charts before the Wednesday FOMC meeting?
How the current “bottom” in the markets will play out for the next couple of weeks.
How do the S&P500 sectors look while the market melts down?
Just about all of the recent downside gaps have been filled, so the “low hanging fruit” has been picked. Next will come the lower upside gaps.
A quick analysis of the major US Indices and the damage done on Friday.
Watch the downside gaps for targets as well as “avalanches” of bad news which leads to capitulation.