Stocks retraced the bounce from yesterday, but managed to hold at key support levels.
We may be one exogenous event away from significant market dislocation.
Precipitous declines of 10+% are always lower probability events, but sometimes the tails are a little fatter than at other times.
Gold and silver bounced. Silver in particular was impressive since it diverged from stocks.
The VIX fell.
There is no panic selling yet. I suspect the specs are buying the dips.
I came in short from last night and got a little shorter on the early bounce. I trimmed back a bit for the weekend.
If the major stock indices break below further key supports with the right kind of tension on the tape I will try to start calculating just what kind of decline we may be facing.
The Fed is active in the markets. But even they have a limited ability to respond to a significant event.
Stock index option expiration next Thursday.
As next week is Holy Week I will be posting but it may be late or abbreviated.
Have a pleasant weekend.
(Click on image to enlarge)
(Click on image to enlarge)
(Click on image to enlarge)
(Click on image to enlarge)
(Click on image to enlarge)
(Click on image to enlarge)
(Click on image to enlarge)
(Click on image to enlarge)
(Click on image to enlarge)
Comments
Log in or sign up to join the conversation.