US equity indexes closed very significantly lower, SPX -66pts (1.7%) at 3789. Nasdaq comp’ -1.8%. Dow -1.7%. The Transports settled -1.0%. R2K -1.5%
sp’daily5c
nasdaq comp’
r2k
transports
Summary
SPX: a post rate hike spike to 3907, but swinging rather powerfully lower to break a new cycle low, settling -1.7% to 3789. Support… red gap… around 3700. Any price action <3636 would merit alarm bells, and offer a crashy move to around 3200.
NAS: printing 11613, but settling -1.8% to 11220. Bearish engulfing candle. S/t bearish, soft target… the June 10500s.
R2K: printing 181.10, but settling -1.5% to 175.34. Bearish engulfing candle. S/t bearish, soft target 165s.
Trans: printing 13009, but swinging lower to settle -1.0% at 12649. RSI 30s is low, but today’s candle is suggestive of s/t downside. Grander target 10K
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VIX’daily
Volatility was mixed, the VIX printing 30.18, cooling to 25.55, and settling +3.1% to 27.99. Momentum ticked upward, and is on the moderately high side. Today’s candle is spiky… subtly black, and leans s/t bearish VIX… if only early Thurs’.
More broadly, I’d keep in mind…
Weekly momentum has turned positive.
Note the upper bollinger in the 31s… which we came close to today.
A hyper spike above the Jan’ $38s appears realistic… as early as next week.
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Looking ahead by 6pm EST