Overnight:
The Yen bid is pushing futures down. NQ needs to hold weekly S1 at 1847.50, or we could be facing more selling pressure. ES rallied much harder thanks to financials, we will need to see if there is any follow-through tomorrow. This is still a market where it is wise to book profits when you have them. Note that NQ is more than 5% below its 20 dma, which is an extreme to say the least. Normally, a 3.5% deviation brings on a reversal to the mean. There is tremendous fear out there, exacerbated by option adjustements.
The Yen bid is pushing futures down. NQ needs to hold weekly S1 at 1847.50, or we could be facing more selling pressure. ES rallied much harder thanks to financials, we will need to see if there is any follow-through tomorrow. This is still a market where it is wise to book profits when you have them. Note that NQ is more than 5% below its 20 dma, which is an extreme to say the least. Normally, a 3.5% deviation brings on a reversal to the mean. There is tremendous fear out there, exacerbated by option adjustements.
This entry was posted
on Friday, August 17, 2007 at 8/17/2007 01:43:00 AM.
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