When In Doubt, Key Off The “Biggies”
When I look for bearish setups, not only do I look for bear flags, but I also look at the action of the leaders.
When I look for bearish setups, not only do I look for bear flags, but I also look at the action of the leaders.
In this video, we discuss the big downdraft from Tuesday’s CPI number. We had a quick 130 point drop in the ES and a quick spike in the VIX. I was wondering if this was the start of something bigger, but today we bounce back and regained about half of the move. What does this mean for the health of the overall market and what to expect in the coming weeks and months. Lastly and specifically, what am I watching on the economic calendar for clues.
In this update, I share how to measure earnings rallies and the impact on the index and sectors. And why a down day is not a down market!
The strength in commodities had us looking for the CPI to run hot, which it did.