Hello Everyone,

Here's a link to Tonight's Newsletter.

A small rug pull on the market today as the US indexes sold off strong for 3/4 of the day, bouncing off the lost the last 2 hrs. If you listened to my comments last night and from the weekend I said that despite the market still hanging onto major support levels, the market feels quite vulnerable.  The Major indexes SPY and QQQ once again held critical support levels, however the moving average slopes 9, 20, 50, are flattened out, which leaves price vulnerable without a sharp recovery from here higher. Also of note the XLP consumer staples ETF is super strong and tends to occur at times of market weakness - see the SPX/XLP ratio.  The VIX as also briefly outside the upper Bollinger Bands before closing back inside. 

For the daily the SPX lost -59 points or -0.8%, the QQQ lost -1.5%, Dow Jones -0.4%, and IWM small caps bucked the trend adding +0.2%.

Precious Metals bounced back nicely today, gold, silver, Platinum, Palladium off their 50 day MA's as expected - but remember I'm looking for a lower higher on this bounce, not the start of a new uptrend

have a great night,

Matt