GOOG short covering (see my post a few days ago), option shenanigans (do you really think they were going to let you cash in on all those puts) and we have a rally to new highs for SPX and DOW. But no new highs for NDX, QQQQ, COMP and SOX. We knew that, since they have been lagging for some time, but it's still a red flag. Another red flag: the VIX. As you can see in the attached chart, everytime we have hit the lower envelopes, the markets have sold-off in sometimes brutal fashion. Caution. ES 1313.50 is a short target as is QQQQ 41.50.
This entry was posted
on Tuesday, March 14, 2006 at 4:55 PM.
