Market Analysis - Thursday, Jan. 30

NDX futures made an overnight high of 21588.20, challenging the Intermediate support at 21408.77, where a sell signal may be made. NDX still maintains the long-term trend, but is being subject to increasing volatility and inability to make new highs. NVDA closed beneath the 200-day Moving Average, hardly a performance worthy of the Mag-7.

SPX futures rose to 6071.70 in the overnight session, then declined to “Max Pain” at 6050.00 at present. There may be an attempt to close the month of January above the December 31 close at 5881.00. Keep in mind the 50-day Moving Average is at 5984.28. Beneath it lies a confirmed sell signal.

Today’s options chain shows Max Pain at 6050.00. Long gamma lies above 6070.00 while short gamma lurks beneath 6000.00.

VIX futures are consolidating above the 50-day Moving Average at 16.08. The retracement appears complete, or nearly so. The Cycles Model shows increasing trending strength wit a spike over the weekend.


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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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