It’s becoming increasingly difficult to wax poetic about a market which isn’t doing anything. Just look at what’s happened over the past ten weeks on the ES……..no net change:
Sure, it’s had its ups and downs, but the market is, on the whole, trendless.
The big news, yesterday, was crude oil’s breakout based on the OPEC deal (to be put into action in November, evidently). I’m intrigued by ZeroHedge’s deeper look at this deal, since it appears to be a lot more smoke and mirrors than a meaningful suppression of supply. All the same, the market liked what it saw yesterday, and presently the price bar is resting daintily on its trendline, which appears to be assuming the role of support now.
It dawned on me this morning that the charts for Mylan (of Epi-pen infamy) and Wells Fargo (of creating-bogus-accounts infamy) seemed a little similar, so I laid them on top of one another. Sure enough, in spite of being in utterly different industries, the charts are quite similar. We can think of this as the Reputation Being Destroyed Forever pattern, sort of like Volkswagen.
I’m going to be flying off to Chicago later today, and I’ll be on Tastytrade “in person” on Friday. For those of you who trade strictly based on the Tim-is-traveling event, there’s your signal.
