Friday, May 23, 2025 8:10 AM EDT

SPX futures made a brief foray to a low at 5819.60 around 6:00 pm yesterday, but recovered. The Fractal path allows the SPX allows a further decline this morning, then a possible bounce to a target near 5900.00 this afternoon, setting up for the next downdraft. An alternate view allows the decline to resume today with no bounce.
The NYSE Hi0Lo index made a modest high on Tuesday, May 20 at 159.00. Yesterday it closed at -30.00, its lowest in a month. The internals have gone negative. Normally the Memorial Day week is the high point of the Spring positive seasonality. However, the Cycles Model suggests that record may be broken as the peak may have come a week early.
Today’s options chain shows short gamma at all levels beneath 5900.00.
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Nothing in this email or article should be construed as a personal recommendation to buy, hold or sell short any security. The Practical Investor, LLC (TPI) may provide a status report of ...
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Nothing in this email or article should be construed as a personal recommendation to buy, hold or sell short any security. The Practical Investor, LLC (TPI) may provide a status report of certain indexes or their proxies using a proprietary model. At no time shall a reader be justified in inferring that personal investment advice is intended. Investing carries certain risks of losses and leveraged products and futures may be especially volatile. Information provided by TPI is expressed in good faith, but is not guaranteed. A perfect market service does not exist. Long-term success in the market demands recognition that error and uncertainty are a part of any effort to assess the probable outcome of any given investment. Please consult your financial advisor to explain all risks before making any investment decision. It is not possible to invest in any index.
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