China, the Greek Drama, and the "Glitch" an explosive soup.
This week has been a very active week with a deep plunge in the Chinese market that caused half of the market to be halted, the rejected austerity greek plan and the possible Grexit, plus the "Glitch" that paralyzed the NYSE and put a virtual halt and slow down in the volume of the other exchanges. It was an explosive week, and it's just the beginning.
We can see some the defensive sectors like utilities, bonds in the green, VIX on the rise and Gold in a double bottom looking for a reversal. Euro, oil, not recovering. $AAPL showing signs of weakness and since it has the largest market cap, in case it won't be able to hold, it will drag the indexes down. This is going to be a bumpy week ahead.
By the way, I don't believe the "Glitch" story, a large institution like the NYSE technically simply can't stop, no matter what. The system architecture is resilient, maximum availability, redundant, fault tolerant and high performance. There are strict and disciplined protocols to release new software versions and in case of an emergency there is a Disaster Recovery Plan that has to be implemented once the system has been unable to recover after a certain amount of time, which is not four hours. So the story of the Glitch after the chinese stocks were halted sounds to me more like a defensive last minute mechanism to gain time and avoid a possible sell off due to an eventual flash crash.
Good Luck everyone and be rigid with your trading plan and flexible with your expectations not the other way.
We can see some the defensive sectors like utilities, bonds in the green, VIX on the rise and Gold in a double bottom looking for a reversal. Euro, oil, not recovering. $AAPL showing signs of weakness and since it has the largest market cap, in case it won't be able to hold, it will drag the indexes down. This is going to be a bumpy week ahead.
By the way, I don't believe the "Glitch" story, a large institution like the NYSE technically simply can't stop, no matter what. The system architecture is resilient, maximum availability, redundant, fault tolerant and high performance. There are strict and disciplined protocols to release new software versions and in case of an emergency there is a Disaster Recovery Plan that has to be implemented once the system has been unable to recover after a certain amount of time, which is not four hours. So the story of the Glitch after the chinese stocks were halted sounds to me more like a defensive last minute mechanism to gain time and avoid a possible sell off due to an eventual flash crash.
Good Luck everyone and be rigid with your trading plan and flexible with your expectations not the other way.