Gotta go to the 3rd grade play this am, so I gotta do it tonight.
OK, I'm voting for some more downside. Yes, even though the futures are up 3+ at the time I am writing this and even though we are dealing with the most manipulated POS ever created. I have to go with what the charts say. Now, to clarify that, there are a few mixed signals, but sometimes you gotta make a call and I'm doing it.
VIX - Perfect backtest.
SPX - Perfect backtest of the wave 3 ED.
SPX Daily Chart - The divergences are still in tact, although hanging by a thread. The action in the MACD histogram makes me want to walk away and quit.
The E-minis are at their bear market top trendline.
Don't hold my feet to the fire on this call especially during earnings season. We shrugged off horrible unemployment numbers and whatever other crappy economic indicators that have hit this week and the march up continues. I just want a C leg down and a little more retracement and then we can march on. Probably a horrible call, but we'll see.
GL out there and have a great weekend.