Professor’s Comments January 30, 2014
Posted by OMS at January 30th, 2014
In my Comments before the Fed meeting, I said that IF the announcement is perceived as negative, there was a good chance that the Dow would trade down to the 15,700 level with the SPX approaching 1775. And that’s almost exactly what happened.
So now we’re in the zone where I would expect a bottom to form. It might take a day or so. What I want to see is at least one day of stabilization before the reversal.
The A-D oscillator is EXTREMELY oversold with a reading of -158.44 and while the VIX rose to 17.35, it remains below its Upper Bollinger Band at 17.53 maintaining its Buy Signal.
That’s what I’m doing,
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Category: Professor's Comments