Wilshire total market index
The two year Maginot line was tested today...
19700
May take an after-hours Blitzkrieg to jump this bitch decisively...
Oil was down another -6% today. Stocks rode the roller coaster to a flat finish on above average volume. Wall Street shorted the open and bought the close, per JP Morgan's bear market advice...
Buy every dip visualized
The last time oil volatility was at these levels, oil was $50 higher (circled). The noose is tight:
Stocks realized volatility
VVIX Second derivative volatility
The VIX hasn't broken out yet, but based on realized and second derivative volatility, it's primed...
Surprisingly, steady selling, followed by end of day short-covering to a one point gain, doesn't improve Money Flow
The Equal Weight S&P is waiting for the cap weighted S&P to catch down, like it did the last two times they diverged...
Despite the one point gain, breadth was negative all day and NYSE new lows were huge. For the majority of the market, today was a fucking disaster.
We've seen this movie before:
Today's bounce off the lows compliments of (dollar) Yen rally which in turn was compliments of offshore Yuan, which had its largest one day gain ever. No doubt due to the increased margin requirements for Yuan trades, that came out late last week.
