Good morning traders!
Here is the recap of the market for this morning:
20 days trend: up, prety much same strenght as last night.
VIX: Went to do a complete tour down, and came back to pretty much same prices. From here there is a high chance that we will end with a high VIX before going into the weekend, seeing how the market is balancing lower, but it is just one of many possibilities, and should be looked at during the day.
Market state: During the night we kept balancing on the unfair lows from the current VA. This some how tells us there is some resistence to get higher, and that the market is liking this prices, adding some indications from the options market, we got a recipie for high volatility for the day. From here, i see three posible scenarios playing out, listed in order of probability:
1.-We keep balancing in thsi unfair low area, and eventualy break lower.
2.-We manage to break higher after balancing lower some more, maybe around the time of the open.
3.-We break higher right away.
In any case, the VIX levels will be key for following this action
For the moment I took of my trade with a small lose, and will wait for the market to decide which way to go, and follow from there.
Here is the recap of the market for this morning:
20 days trend: up, prety much same strenght as last night.
VIX: Went to do a complete tour down, and came back to pretty much same prices. From here there is a high chance that we will end with a high VIX before going into the weekend, seeing how the market is balancing lower, but it is just one of many possibilities, and should be looked at during the day.
Market state: During the night we kept balancing on the unfair lows from the current VA. This some how tells us there is some resistence to get higher, and that the market is liking this prices, adding some indications from the options market, we got a recipie for high volatility for the day. From here, i see three posible scenarios playing out, listed in order of probability:
1.-We keep balancing in thsi unfair low area, and eventualy break lower.
2.-We manage to break higher after balancing lower some more, maybe around the time of the open.
3.-We break higher right away.
In any case, the VIX levels will be key for following this action
For the moment I took of my trade with a small lose, and will wait for the market to decide which way to go, and follow from there.