- SPX Narrow Closing Range: 3858 - 3921.
- SPX Broad Closing Range: 3820 - 3944.
- Trading Style: Momentum/Outside Day.
"Hello, this is your Captain speaking, return to your seats and buckle up. We're about to experience some turbulence."
Okay, so that's not a guarantee that we will have an outside day by any means. However, the conditions are ripe for a really fast-moving and outside day. This is not a "fade the move" market today. Prepare for a rollercoaster with accelerating moves that don't respect your idea of where the prices should stop.
I pulled in decent returns just fading the bumps up in VIX (/VX) yesterday but I won't be so cavalier today. If anything, I might be willing to jump on the long VIX train.
To reiterate, keep in mind that the conditions as setup today still may have pretty normal behavior as market behavior may dictate but the conditions are very ripe to have quite outsized movement. You've been warned!
Happy Trading or Liquidation Thursday, as the case may be!
Analyst's Disclosure: I am/we are long SPX.
I'm liquidating my small SPX position this morning. I am an active trader and may take a long or short position in any securities mentioned at any time.
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