Monday, November 10, 2014

Ready for a Pause?.....11.10.14

Another up day for the markets and a lot of the majors (now including XIV) have hit RSI@ high 90's readings...a cautionary indicator we've discussed before.  The SPY TrendX...right side panel>> is looking extended to the upside and we may be in store for a little sideways action to calm things down a bit and gain some bullish traction.
Our new M3 position in XIV initiated at Friday's close zoomed up like a rocket today (see chart below) gaining 4.5% for the day.  XIV has been badly lagging UPRO in the momentum game but it looks poised to make up lost ground if the technicals can hold together.