Today marks the halfway point for the SPX in this expiry and this week just gone is often rather tepid.
We know it is currently being sensitive to Y2 but we also know that it has tested this level on numerous occasions and been to the bottom boundary of its zone, so all it actually needs is a bit of aggression, or emotion.
The point we are making is that from here on in we very much doubt these are going to be in short supply as at the very least next week will build towards the rollover, and this rollover is into the biggest of the big.
Range: 2555 to 2605
Type: On balance definitely bearish
Basically, the NDX was a rerun of Wednesday just offset by 25-points.
The open was 6238.30 so we will call that 6225 which would make the bandwidth 25-points either side or 6200 and 6250 and the low was indeed 6194.58 and the high 6243.74.
Not as close as we would like but also one has to add in that the low was also a test of Y2, so strike 1.
In the meantime, the ratios continue to strengthen below the zone and weaken above it both of which are bullish.
In fact, from here on in we may well see the zone start to move up, completing the trifecta.
Range: 6200 to 6350
Looks like the reconnaissance patrol in the DJX not only went back out to 23500 and found no resistance but set up a forward OP.
We suspect that this is entirely down to the fact that the SPX never even went back close its Y2 level leaving this index on its own.
Obviously, we have no axe to grind as to us it is all Y1 now and so our only moan is why this index is only taking baby steps, but also our comments above in the SPX apply here just as much.
Range: 22700 to 24000