Sunday, June 26, 2016

VDX Updates...06.26.16

After the week that was and one that will go in history the VDX charts are clearly overextended in all directions.  And it may not be over yet as traders brace for collateral damage from Friday's selloff.
Ripple effects are likely to be felt for weeks, if not months and and current FED fund forecast is no rate increase until at least 2017.  We'll look at the odds for dip buying tomorrow and then I'm on the road for a couple days for a pair trading seminar. Here's a link to Mauldin's latest thinking about possible things to's long, but well argued and filled with a few surprises.
In the meantime technical analysis should be considered a risky basis for timing investments.