Hello Everyone,
Quick Notes: Quite the reversal today: The market gapped up in the morning and rallied to new highs for the 1st 45 min with the SPX up 45 points at the morning highs, only to have a 60 point intra day reversal for it to close down 15 points.
As you know, what has caused Steve and I to be uneasy as of late is the extreme examples of negative breadth that we've been showing since last week, and I discussed this in-depth again on the weekend, that was especially prevalent in the Nasdaq. The Nasdaq was making new all time highs, while at the same time we were seeing increasing numbers of new 52 week lows. The NAMO McClellan Oscillator closed below it's lower Bollinger Bands for a 3rd day on Friday despite the fact that the Nasdaq made new all time highs. Today we saw it occur 4 consecutive days in a row, however the Nasdaq closed down this time. For now I see a potential ABC pullback, but we'll have to see if we get a bounce tomorrow and the nature and extent of it. Obviously we are in the shortened Thanksgiving trading week, but that doesn't mean we can't see some weakness.
VIX closed outside its upper Bollinger Bands
Most of the FANG type stocks had strong reversals today.
High Yield Corporate Bonds continue to sell off strong, perhaps the 200 day MA is a target.
US Dollar had a good rally up 0.5% and has had a super strong chart for a while.
Gold got trounced losing 45 points today.
Crypo currencies sold off today
we'll see what tomorrow brings
Matt
