In case you're new to market timing, money typically gets put to work on the first Monday of every month, regardless of investor sentiment. Futures up. Oil up. $VIX up?
Looks like we could see a correction in Nov., looking at the short term $VIX chart
$VIXY (short term $VIX futures) chart added to the public charts area
Looks like a washout.... which is always followed by a sharp reversal. That means fear is about to return to markets, in a big way, very shortly.
I also found a nice pullback target on the $QQQ and added that chart to the mix, as well as a very short term chart - to the public charts area - on Friday. I'm not sure when the selling will start, but I think the Fed announcement could be a "sell the news" event, as the bulls run for the exits, ahead of the Thanksgiving holiday. And I would expect the pullback to complete, by early Dec. The powers that be, like to get these pullbacks over with in a hurry, and then they're going to want to end the year on a high note. Could be a great swing trade!
The $USD
We finally saw a snap-back rally on the $USD on Friday, so I'm liking the pullback on the $UDN
Last week I was talking about shoring Japan, and after last nights 3% relief rally, this seems like a golden opportunity... but I think we'll just leave that trade up on the shelf for now.
Good luck timing the correction, this week.
AA
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