The 'Buy the Dip', Short-Term Appetite May be Spent for SPX

110 2 2
Here we have the SPX             (emini futures contract) versus the short-term VIX             volatility index (inverted). Both point to a short-term speculative bid to see the market rebound. Equity traders 'buy the dip' while options traders 'sell vol'. Both sides groups have picked the low-hanging fruit. To continue higher, the new investment will need to be more committed to the buy-and-hold             mentality. Not much of that left in the market.
Seems that it is junk that is propping the market up, momos like NFLX and biotech...biotech especially, seems people are buying a dream rather than a profitable company. Don't get me wrong, some are profitable. I think people also have an emotional connection to biotechs due to family or personal ailments. I am short ES although am not holding my breath. Waiting for price action next week as this type of move of the last couple days seems to happen right before OPEX and then sell off afterwards.
pragspec docwesley90
Greek "crisis", china market liquidity and highly suspect GDP of 7, Iran deal and oil implications, Yellen and "need" to raise interest rates, the upside in the $ and its implications for multinationals, the collapse of commodities, etc - ALL failed to break Technology and the S&P500. Both Volume and volatility have fallen. There is no fear indicated in the marketplace. When markets show resilience and climb a wall of negative news, it takes extreme to to take a contrary position. I was trying to write puts on the 7th. Most were not taken. While I agree that there is little positive news and that valuations are past mid range, the technicals indicate at least short term upside. Good luck with your shorts
EN English
EN English (UK)
EN English (IN)
DE Deutsch
FR Français
ES Español
IT Italiano
PL Polski
SV Svenska
TR Türkçe
RU Русский
PT Português
ID Bahasa Indonesia
MS Bahasa Melayu
TH ภาษาไทย
VI Tiếng Việt
JA 日本語
KO 한국어
ZH 简体中文
ZH 繁體中文
AR العربية
Home Stock Screener Forex Signal Finder Cryptocurrency Signal Finder Economic Calendar How It Works Chart Features House Rules Moderators Website & Broker Solutions Widgets Stock Charting Library Feature Request Blog & News FAQ Help & Wiki Twitter
Profile Profile Settings Account and Billing My Support Tickets Contact Support Ideas Published Followers Following Private Messages Chat Sign Out