Tuesday, June 14, 2016

Jun 14 - Still short SPY, 203 target

Volume continues to steadily pour in and now looking for support around 203 with the potential for an overshoot to down to 200.

Looking to stay short until those levels are reached and willing to deal with FOMC noise and a potential short squeeze if for some reason there is a positive reaction.  That said things are extremely oversold so that squeeze could pop up out of nowhere.

This is different than the last pullback in April.  Volume is stronger, the angle of decline much steeper and VIX is very high which is why I think this pullback in character is more similar to the ones back to last Nov/Dec where we dropped 9-10 pts twice in SPY.
 Grinding down through oversold conditions.  I tried going long yesterday but that didn't work.  So I won't attempt a long until 203 minimum
 2 hr timeframe also extremely oversold and normally would bounce but it isn't.



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