SPX Still in Flux

Good Morning,

Just a quick update as fundamentally, we are still in a state of flux. Claims are coming tomorrow so keep an eye on them "in the background".

Technically, the SPX is still dangerously close to its recent high of 1254, so the risk is to the upside. If Europe falters or some other "shoe" drops such as elevated claims or a poor earnings report, some support may come in around 1200 - I may look to pick up some sectors depending on the percentage they dropped in that area.

Forex has a fun day - even with oil up big (oil complex hurricane warnings), the dollar has found "some" strength over the past 36 hours. Still, just like the SPX, the dollar is so close to lows that you have to be very, very careful buying it intraday and you have to be careful buying it if you are using it as a longer term equity hedge. Technically, we had a big reversal day, so there may be some carry through into the overnight session, but again, would be looking to profit if long the dollar and maybe start to sell the dollar in extreme locations. Again, a lot of it depends on international discussions.

Here was the one intraday trade - based on Standard Deviations, leading to a BUFFALO BOUNCE in the EUR/USD:

Past performance is not indicative of future results

Free Webinar tonight at IBFX - I will be talking about fundamental and technical events with a look forward. Click here for the link.

Happy Trading and Be Environmentally Cool

Coach Brian

Forex trading is one of the riskiest forms of investment available in the financial markets and suitable for sophisticated individuals and institutions. The possibility exists that you could sustain a substantial loss of funds and therefore you should not invest money that you cannot afford to lose.