Saturday, February 8, 2014

M3 Update...2.8.14

Since a few readers have asked, here's a look at the situation with the SPY M3 with the AUTO STOP feature turned on. 
Bottom line...the model is bullish with the ideal XIV, SSO, SPY  ranking now flashing. 
With the VIX dropping 14% on Friday we're actually due for a little pullback but that may simply be an intraday hit with an ongoing rise in the end of day highs.  From a strictly historical perspective. retracement runs like this tend to run 3 days, then pause or pullback before continuing their run.


And, what is encouraging for the bulls is the positive position of the pairs % change charts... but have just crossed the zero line and are now trending up.