Ye, these corrective bounces can be tricky, but it seems as if the serious impulsive down waves only comes after the 20th of each month (could be the pension inflows that keeps her up)...so she's got time to build a nice top.
Also going to cut my shorts if she goes to 46600 and get in higher again!NFP tomorrow might just do the trick....!
A
Looking back over the last year and a bit we have been traveling sideways, 6 months ago we were in a channel of about 2000 points till Feb this year with the break to the upside, now we are again in a channel that is even smaller, we have tested the 47 level 5 times in that time period and each time the market retreated, at some point I think there will be a last effort to break that level and retest 49, after that I think the drop will be more of a reality.
Although Greece is in the rear view mirror for now I still see a bit of nervousness and see that remaining until an actual deal is concluded.
The interesting part is going to be if the FED add a .5 percentage point and what that would do to the markets, I see down but as this has not happened ever before I could be wrong.
Also I have no idea what china is doing but i see that also as a problem towards the end of the year.
I think the world is headed for recession at the moment, so this and all the other stuff make me look to the down side for the foreseeable future. So I see much more up and down till the end of the year. My short trading has improved big time so at leased I get that out of all this volatility.
JMO
G