Monday, July 6, 2009
VIX printed a black exhaustion canlde today. Breadth was mixed and volume not entirely strong and the close while not great, looked promising.
On the indexes lots of reversal candles.
Looking for SPY to get to the upper end of its consolidation range at around 92-93 and assessing whether to go short.
Right now sitting on modest long position for short term. If we get a large pop tomorrow, will definitely unload a large portion if not all of it. If we gap down again, this set up will probably have failed but the odds of a third gap down in a row seem more limited as the market held some ground today.