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SPX: Investor Behavioral Divergence

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TVC:SPX   S&P 500 Index
13
The CNN Great & Fear Index is showing today the lowest reading in 2017 by 36 or "Fear".

If ever this bullmarket is not reversed to a new bearmarket than this low number might indicate that downside potential is still limited.

Quote: "During the last five trading days, volume in put options has lagged volume in call options by 32.00% as investors make bullish bets in their portfolios. However, this is still among the highest levels of put buying seen during the last two years, indicating extreme fear on the part of investors."

Last changed Mar 20 from a Fear rating

Updated Mar 21 at 4:04pm
Source:
money.cnn.com/data/fear-and-greed/
markets.money.cnn.co...rtType=AvgPtileModel
Comment:
MAR 21 2017: This trading idea is activaed at SPX 2.344
Comment:
MAR 21 2017: Markets fret as Trump agenda shows signs of cracks

www.investing.com/ne...gns-of-cracks-467811
The steepest pullback in stocks since the U.S. presidential election reveals investor angst about President Donald Trump's ability to push through major reforms, leaving stocks vulnerable to a long-anticipated correction.
The S&P 500, in its second longest bull market ever, has risen close to 10 percent since the Nov. 8 election on optimism about Trump's pro-growth agenda. With valuations at their highest in over a decade, investors have been expecting a pullback even if its catalysts haven't been clear.
Trump, looking to score the first major political win of his presidency, on Tuesday warned Republican lawmakers that if a healthcare bill he backs fails to pass, it would cause "political problems." Stocks fell alongside the U.S. dollar, while Treasuries and gold rallied.
"It's like the Trump agenda getting kind of slapped in the face," said Peter Tuz, president of Chase Investment Counsel in Charlottesville, Virginia.
Investors saw the health bill vote, expected on Thursday, as testing optimism that the Trump administration and Republican leaders will implement tax cuts, deregulation and infrastructure spending expected to boost economic growth.
Comment:
MAR 21 2017: The ‘crash protection’ index is sending a warning flare for the market — or not

fm.cnbc.com/applicat.../1490114661_skew.png
Quote: "The chart of an obscure index is making its way around Wall Street. And some say that its recent surge suggests that traders are now more interested in protecting their portfolios from serious downside.
"We're at very significant levels" on the index, strategist Larry McDonald said Monday on CNBC's "Trading Nation." In a blog post, he wrote that the main reason for the index's high level is that "oo many market participants don't trust the rally, want to buy downside protection."Some have gone even further, suggesting that the chart shows investors are becoming more nervous about crashes, and that people are paying more to protect themselves against a "black swan" event that could be just over the horizon.
That would be the CBOE skew index, which is near all-time highs. As the CBOE puts it, the index "measures the perceived tail risk of S&P 500 log returns at a 30-day horizon." In other words, it represents an attempt to use options prices in order to determine the market-implied probability of a crash.
Comment:
MAR 21 2017: How the stock market performs after a streak of at least 100 days without a 1% decline ends

Quote: The data group have cited only 11 such instances in which trading without a down day hit the century mark, and on average during the week, month and three months following the first decline during those periods, the broad-market S&P 500 tends to end higher.
For the week, the average gain is 0.65%, advancing 8 out of 11 times. The average return after a month is 2.34%, with returns positive in 9 out those 11 occasions. After three months, average returns are about 2.44%, boasting gains in 8 out of those 11 periods (see table below).
Source: www.marketwatch.com/...harts&dist=bigcharts
Comment:
MAR 22nd 2017: Asian stocks pull back on fresh doubts about Trump policies
Source: www.investing.com/ne...rump-policies-467861
Comment:
MAR 21 2017: Link CNBC / Skew Index www.cnbc.com/2017/03...-market--or-not.html
Comment:
MAR 22 2017: Wednesday could be important turning point for stocks after Congress chills rally
Quote: Stocks were trounced Tuesday on concerns the House will not have enough votes to repeal and replace the Affordable Care Act, triggering worry that more of President Donald Trump's pro-growth policies could be delayed or derailed in Congress. It was the worst sell-off since just before the election, and the first time the market reacted negatively, amid doubts about Trump's policies becoming law.
Source: www.cnbc.com/2017/03...ss-chills-rally.html
Comment:
MAR 22 2017: For the first time since the election, Trump optimism is showing signs of cracking

For the first time since the election, markets are doubting they will get the pro-growth policies of tax reform and stimulus promised by President Donald Trump and the Republican Congress.
The repeal of Obamacare appears to have hit some snags and the GOP brought out Trump earlier Tuesday to serve as pitchman to House Republicans who may have been wavering ahead of Thursday's vote. Whether he won votes or not is unclear, but markets certainly took the lack of clear majority support as a negative.
"I think it's certainly interesting the market is questioning it, based on the limited amount of votes the Republicans can afford to lose in the House. It suggests if you thought this party would be voting as a block on the key agenda items, that might not be the case," said Mark Cabana, head of U.S. short rate strategy at Bank of America Merrill Lynch. "It might be a lot more fractured party than many might have anticipated."
The stock market sold off sharply with many market leaders of the Trump trade lagging. The Dow was down as much as 200 points, but the underpinnings of the market were even weaker. The Russell 2000 small-cap index, for instance, fell 2 percent, and the Dow transports lost 1.7 percent. Financial stocks were the worst performers, down 2.6 www.cnbc.com/2017/03...-wont-come-true.html
Comment:
MAR 22 2017: F&G Index 31. Chart: markets.money.cnn.co...rtType=AvgPtileModel

Source: money.cnn.com/data/fear-and-greed/

Cls: 31: This is the lowest number since the U.S. election on November 9th 2016. If ever the bullmarket is not reversed this is a very low reading for a bullmarket. Usually low numbers like this are followed by impressive up moves.
(31 means Fear, closing in to extreme fear wich is below 25)

Sub-Indicators:

F&G-Index: CBOE 5-DAY Average Put/Call Ratio - Extreme Fear
Quote: During the last five trading days, volume in put options has lagged volume in call options by 29.67% as investors make bullish bets in their portfolios. However, this is still among the highest levels of put buying seen during the last two years, indicating extreme fear on the part of investors.
Last changed Mar 20 from a Fear rating Updated Mar 22 at 10:26am

F&G Index: Differenece in 20-day stock and bond returns - Extreme Fear
Bonds have outperformed stocks by 1.30 percentage points during the last 20 trading days. This is close to the weakest performance for stocks relative to bonds in the past two years and indicates investors are fleeing risky stocks for the safety of bonds. Last changed Mar 20 from a Fear rating

F&G Index: McClellan Volume Summationn Index - Exreme Fear
The McClellan Volume Summation Index measures advancing and declining volume on the NYSE. During the last month, approximately 11.98% more of each day's volume has traded in declining issues than in advancing issues, pushing this indicator towards the lower end of its range for the last two years. Last changed Mar 13 from a Fear rating
Updated Mar 22 at 10:27am

F&G-Index: VIX and its 50-day movinng average -Fear
The CBOE Volatility Index (VIX) is at 12.56, 8.28% above its 50-day moving average and indicates that investors are concerned about the near-term values of their portfolios. Last changed Mar 20 from a Neutral rating Updated Mar 22 at 10:26am
Comment:
MAR 22 2017 S&P, Nasdaq little changed; Dow dragged down by Nike
www.investing.com/ne...rump-tax-cuts-467974
Comment:
MAR 22 2017, Sentiment: Gartman says US stocks set for 5% correction … or perhaps something far worse
www.cnbc.com/2017/03...t-fall-at-least.html
Comment:
MAR 22 2017, Politics: Trump seeks to nail support for healthcare bill before House vote
Source: www.investing.com/ne...re-house-vote-468040
Comment:
MAR 22 2017 U.S. stocks struggle for gains; Nike pulls Dow lower

Quote: Investing.com – Wall Street traded with mixed signs on Wednesday as market players wait for developments on the new healthcare policy and its impact on U.S. President Donald Trump’s plans to move forward with other fiscal policies, while the Dow was under pressure from disappointing earnings from Nike and investors also digested the latest government data on U.S. crude stockpiles. Source: www.investing.com/ne...s-struggle-for-gains
Comment:
MAR 22 2017: Gold hits 3-week peak as investors ditch equities on Trump worries
Quote: Gold climbed to a three-week high on Wednesday as the dollar fell to near six-week lows and bond yields sank on uncertainty over the economic policies of President Donald Trump. Spot gold rose 0.45 percent to $1,250.15 per ounce.
The lack of a concrete policy from the Trump administration is increasing gold's attraction as a safe-haven investment, analysts and traders said. Source: www.cnbc.com/2017/03...-policy-worries.html
Comment:
MAR 22 2017: No follow thru after sell of on March 21th.
Comment:
MAR 22 2017 - Sentiment: No trust in Trumponomics anymore.
Slide in U.S. infrastructure stocks sign of 'Trump trade' weakness
www.investing.com/ne...ade'-weakness-468155
Comment:
Comment:
Greed & Fear Index: Chart open this link, than please scroll down
money.cnn.com/data/fear-and-greed/
Comment:
MAR 23 2017: Vote looming, Trump struggles to win Obamacare repeal

Quote: WASHINGTON (Reuters) - U.S. President Donald Trump on Thursday was set to make a final push on Thursday to secure the votes to begin dismantling Obamacare in the House of Representatives, with signs that enough Republicans might defect to jeopardize one of his top legislative priorities. Trump has mounted an intensive campaign to garner support for the initiative and the effort is seen by financial markets as a crucial test of his ability to move his legislative agenda, including planned tax cuts, through Congress.

Republican leaders hoped to vote on Thursday but there were signs the deadline could be pushed back. Trump scheduled an 11:30 a.m. ET/1530 GMT meeting with members of the conservative House Freedom Caucus at the White House.
"We're still open for negotiations," Representative Ted Yoho, a member of the conservative group, told CNN. "There is still time."Democratic Representative Steny Hoyer said the majority Republicans clearly did not have enough votes to pass the bill, which has been championed by House Speaker Paul Ryan. Source: www.investing.com/ne...althcare-plan-468257
Comment:
MAR 23 2017: Donald Trump is not almighty and USDMXN understood this at once. Click on this chart and than press "play" for todays action.

Comment:
MAR 23 2017: All major sentiment Indicators showing "fear" or "extreme fear" - even Markets just a few points under multi year highs or all time highs (DAX)

Before you read this news about todays market action (link below) keep your attention to the high level of putbuying at the CBOE: Total Intraday Put/Call Ratio 1,13. If ever there might be any higher number before the weekend the remind that usually high numbers like this are followed by a major spike to the upside some trading days later. Expect that a "fail" for Donald J. Trump might be nothing else than "sell the news" (for shortsellers). You need to invert the situation.

DAX Traders need to be aware that the EUWAX Sentiment Indicator today once more was extremely negative - means nothing else that putbuying was extremely high.
Quote: Wall St closes lower after Healthcare vote delay

www.investing.com/ne...re-vote-delay-468437
Comment:
MAR 24 2017: Trump's approval rating craters in poll — and his base is the culprit

Quote: President Donald Trump's approval rating has fallen to 37% — a new low, according to a Quinnipiac University national poll released Wednesday. The poll found the president to be losing crucial support among Republicans, men, and white voters. The survey of 1,056 voters from across the US found that Trump's approval among Republican voters dropped to 81%, from 91% of those surveyed in a similar Quinnipiac poll two weeks ago. His disapproval rating among that group jumped to 14% from 5%.
The poll showed those in Trump's most supportive demographics — male and white voters — to be increasingly unhappy with his performance. Forty-three percent of men approved of Trump — down from 49% in the most recent poll, while 44% of white voters approved, also down from 49%. "Most alarming for President Donald Trump, the demographic underpinnings of his support, Republicans, white voters, especially men and those without a college degree, are starting to have doubts," the assistant director of the poll, Tim Malloy, said in a statement. Source: uk.businessinsider.c...%253DUS%2526IR%253DT
Comment:
MAR 24 2017: Trump demands support in do-or-die Friday vote on healthcare plan
www.investing.com/ne...althcare-plan-468257
Comment:
MAR 24 2017: CBOE Intraday Put Call Ratio 1,34. last time this high number occured U.S. Stockmarkets started a sharp up move on high momentum some days later.
Comment:
MAR 29 2017: The Greed & Fear Index on Monday falling to "22" or extreme fear. The F&G Index was on this low level in 2016 only in the last days before the U.S. Election on November 9th 2016 and in the early Month of January and February 2016 when the stockmarket crash dumped the SPX to the 1.800 level. Today the F&G is still low with 34.
Comment:
MAR 29 2017: Trump to unveil $1 trillion infrastructure plan in 2017: official
www.investing.com/ne...017:-official-469776
Trade closed: target reached
Trade closed manually
Comment:
MAR 31 2017: Traders should focus now on this Issue. Markets could react with a major sell off to any (!) Testimony.

Trade active:
Re entry long SPX on APR 04 2017
Comment:
Comment: APR 04 2017 - Qoute: Keep Your Eye On U.S.-China Summit
Source: m.investing.com/anal...ina-summit-200181292
Comment:
Re-Enry Long at 2.350 on April 04 2017

Comment:
APR 05 2017 - Quote: In reversal, Bannon removed from National Security Council
(CNN)Steve Bannon, President Donald Trump's chief strategist, has been removed from his permanent seat at the National Security Council, multiple sources tell CNN, moving the council into a more traditional format.
The decision, which one source with knowledge said was made by Trump himself, comes after the President in January authorized the reorganization of the National Security Council to include Bannon as a permanent member of the panel. Source: edition.cnn.com/2017...y-council/index.html
Trade closed: stop reached
Comment:
APR 05 2017: Stop exec. 2.365. Net gain 15 points.
Trade active:
APR 06 2017 - Re-entry long
Head of House conservatives: Tax reform possible by August
www.investing.com/ne...ble-by-august-472102
Comment:
Comment: APR 07 2017 Mixed jobs report leaves markets unfazed about Fed rate hikes
www.investing.com/ne...ed-rate-hikes-472517
Comment:
APR 08 2017 Chinese state media cheer Xi-Trump meeting, say confrontation not inevitable
www.cnbc.com/2017/04...i-trump-meeting.html
Comment:
APR 08 2017: A conflicted stock market faces moment of truth as earnings loom
If earnings meet expectations, it could be the best quarter since third quarter 2011
www.marketwatch...loom-2017-04-08?siteid=big...
Comment:
APR 10 2017 Investors look to global growth for earnings power
www.investing.com/ne...arnings-power-472637
Comment:
Comment: APR 09 2017 - Ford CEO Mark Fields 'encouraged' by US-China future as Trump, Xi end summit
www.cnbc.com/2017/04...p-xi-end-summit.html
Comment:
APR 10 2017 - China offers concessions to avert trade war with US
Xi affords Trump prospect of quick wins on market access in finance and beef
www.ft.com/content/6...e7-a454-ab04428977f9
Comment:
APR 10 2017 - Sentiment turning extremely negative today. The VIX is now rising above 13,5. The Cboe intraday Put Call Ratio is up to 1,21. The Great and Fear Index is down to 36 and US Yields dropping 2 basis points...
Comment:
APR 10 2017 - Treasury yields slide after largest one-day yield-gain in 2 weeks
www.marketwatch...eeks-2017-04-10?siteid=big...
Comment:
APR 10 2017 - Opinion: Trump, May show surprising tilt toward pragmatism
Quote: Instead of acrimony and tantrums, we got cooperation and compromise
... However, in the past few days, the U.S. and British leaders have shown they are perfectly capable of reasonable policies designed around compromise rather than confrontation. ...
... The president carried out what appears to have been another valuable service by removing his top aide Steve Bannon from the White House National Security Council, where the former head of right-wing website Breitbart News had seemed out of place. ...
.... In a retreat from “no-holds-barred” Brexit orthodoxy, Britain has said it would abide by some rules — including free movement of citizens — during a transition in which new regulations are being phased in. On a visit to Saudi Arabia last week, May attuned her EU dictum to Realpolitik principles, accepting that no full trade deal can be concluded until after the U.K. leaves and conceding that immigration from the EU could continue until after the next British election in 2020. ...
Source: www.marketwatch...tism-2017-04-10?siteid=big...
Comment:
APR 10 2017: VIX is rising today even the DJIA is up same day. This is very positiv for any stockmarkets, especially if an index is close to an all time high. Open the Charts to see the Vix:
Weekly: invst.ly/3pqz6
Daily: invst.ly/3pq-e
Comment:
APR 11 2017: VIX is rising again today allmost 10%. This is very positiv for any stockmarkets, especially if an index is close to an all time high. Open the Charts to see the Vix:

Weekly: invst.ly/3pz0d
Daily: invst.ly/3py-4
Comment:
APR 11 2017 - Greed & Fear Index droped again to the lowest levels since the U.S. Election on November 9th 2016. money.cnn.com/data/fear-and-greed/
Quote: VIX: The CBOE Volatility Index (VIX) is at 15.10, 26.64% above its 50-day moving average and indicates that investors are concerned about the near-term values of their portfolios. Last changed Apr 7 from a Fear rating Updated Apr 11 at 9:54am
Trade closed: stop reached
Comment:
Stand by for er entry.
Comment:
Stand by for re entry ...
Trade active:
Re entry long.
Comment:
Comment: APR 17 2017: China beats GDP forecast
www.investing.com/ne...-expectations-474575
Comment:
APR 17 2017 - China Roars Back to Lift Global Outlook as U.S. Consumer Weakens

- Economy on pace to power one-third of global growth in 2017
- Government makes progress in restraining runaway credit growth

www.bloomberg.com/ne...u-s-consumer-weakens
Comment:
APR 17 2017 - Sold on April 11th at 2.353 - re entry below fridays closing lows at 2.325 tonight. Next days might show if the downside momentum might be stopped or might continue.

Comment:
APR 17 2017 U.S. stocks shrug off global tensions and eye M&A
www.investing.com/ne...s-and-eye-m-a-474690
Comment:
Comment: APR 17 2017 - Brazil's economy grew at its fastest pace since 2010 and its stocks are flying high
www.cnbc.com/2017/04...ocks-are-flying.html
Comment:
17.04.2017 - Wall Street rises as earnings take focus from geopolitics

Quote: NEW YORK (Reuters) - U.S. stocks rose on Monday after the S&P 500 closed the previous session at a two-month low, in a broad rally lead by recently beaten-down bank and tech shares. Market focus shifted from geopolitical tension to earnings, with several Dow components, including Goldman Sachs (NYSE:GS), General Electric (NYSE:GE) and Johnson & Johnson (NYSE:JNJ), scheduled to release results later this week. Source: www.investing.com/ne...litical-risks-474631
Comment:
APR 17 2017 - Todays market action:
Trade closed: stop reached
Comment:
Markets turning back to focus on geopolitics. Four days before the France Election risks for shortterm trades rising. Time to step to the sidedlines again.
Comment:
APR 18 2017: Futures point to lower open as Street worries about North Korea and French elections
www.cnbc.com/2017/04...itical-tensions.html
Comment:
APR 18 2017: Geopolitics vs. underlying fundamentals:

- British PM May calls for early election to strengthen Brexit hand
www.investing.com/ne...n-brexit-hand-474893

vs.

U.S. industrial production rises in line with expectations in March
www.investing.com/ne...ions-in-march-474992

IMF raises global growth forecast, warns against protectionism
www.investing.com/ne...protectionism-474985
Trade active:
Apr 18: Markets turning away from global politics. 5 hours later re-entry. Day trading is a confusing issue, obviously. Usually i am not doing this. Sold at 2.344, re entry at 2.338
Trade closed: stop reached
Comment:
Bought at 2.338, sold at 2.338. Sideline again.
Trade active:
APR 18 2017: No downside momentum. SPY re-entry at 2.335

.
VIX:

Comment:
APR 18 2017- Long ledged Doji. Closing price on wednesday 19th of April above the candle means up trend is going to continue. Closing price below todays low means the trend is reversed. Also this pattern is an so called "inside day" means where the move will go the following trading day the trend will accelerate.

SL is a few points below todays low.

Comment:
VIX:

Trade closed: stop reached
Trade active:
Re entry
Comment:
APR 20 2017 - The market suddenly doubts the Fed will raise rates twice more this year
Traders assign just a 41 percent chance that the Fed will raise interest rates three times this year.
Goldman economist Jan Hatzius counters that concerns over the economy now will abate and allow the Fed to fulfill its projections for 2017
Source: www.cnbc.com/2017/04...-more-this-year.html
Comment:
APR 24 2017: Wall Street surges, Nasdaq hits record on French vote result
www.investing.com/ne...-french-worries-ease
Comment:
APR 25 2017 - 3M raises 2017 profit forecast; first-quarter results top estimates
www.investing.com/ne...s-3.8-percent-477050
Comment:
APR 25 2017 McDonald's profit beats as turnaround gains steam, shares at record high
www.investing.com/ne...t-record-high-477170
Comment:
Dow Chemical profit beats as consumer market focus pays off
www.investing.com/ne...ump-in-profit-477984
Comment:
Wall Street opens higher with earnings in focus
www.investing.com/ne...-little-cheer-478004
Comment:
NASDAQ closes at record high ahead of major techs earnings.
www.cnbc.com/2017/04/27/us-markets.html
Comment:
Brazil's manufacturing PMI rises past 50 for first time since 2015
www.investing.com/ne...me-since-2015-479316
Comment:
Jobs creation expected to bounce back, miss could push back rate hikes
www.investing.com/ne...ck-rate-hikes-480456
Comment:
Technical at important level:

Comment:
Wall St. to open slightly lower after Comey sacked
www.investing.com/ne...-comey-sacked-482358
Comment:
Until now no selling pressure even the news showing clear evidence, that Trump is linked to Putin helping to win the presidential race. Later this year this is going to change.

Comment:
Last hope for Pro´s shorting the SPX: Double Top. If ever the market might go higher Bears capitulation will go on.

Comment:
Technicals stand out amid a quiet market

By Rodrigo Campos and Terence Gabriel
NEW YORK (Reuters) - As the strongest earnings season since 2011 draws to a close, and with the S&P 500 (SPX) and Nasdaq Composite (IXIC) hovering near record highs, the biggest concern for some market analysts is, well, the lack of concern.
The largest daily move on the S&P 500 in almost three weeks was only 0.4 percent. The small daily moves are partly the reason for a more than 20-year closing low hit this week on the CBOE Volatility index (VIX), a measure of investor anxiety.
"Most of what you’ll find that is outright negative will have to do with sentiment," said Marc Pado, president at DowBull.com in San Francisco.
"People worried about the market on a technical basis are worried because there is too much complacency or optimism, but not on an indication that there is some kind of top."

www.investing.com/ne...-quiet-market-483913
Comment:
Cup with handle pattern was distroyed by Trumps Russia probe vs. Comey

Anotherone occurs today:

Comment:
S&P 500 hits record high close following Fed minutes
www.investing.com/ne...f-fed-minutes-487952
Comment:
Stocks close at all-time highs as Street shrugs off jobs report
The U.S. economy added 138,000 jobs last month, the Labo Department said, missing a consensus estimate of 185,000.
But the Dow, S&P and Nasdaq all managed record highs on an intraday and closing basis. www.cnbc.com/2017/06...ort-disappoints.html
Comment:
Comment: China May data to show stable growth as exports stay solid
www.investing.com/ne...ts-stay-solid-491768
Comment:
U.S. stock futures point to pullback from record highs with data ahead
www.investing.com/ne...th-data-ahead-491794
Comment:
SPX: cup with handle pattern confirmed.

Comment:
SPX: Up-trend still valid...

Trade closed: target reached:
Trade closed on profit taking:

Comment:
SPX technical: Rising wedge likely


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