Thursday, December 24, 2020

Waiting For Megaphone To Conclude

Possible holiday hiatus- center of a megaphone typically will take at least as long as the prior move (6 trading days?) which could take us into the new year before anything significant moves again at least as far as hitting upper targets. We would not discount a volatile period anywhere right now but a top often ensues with new highs and optimism. We do have a wave 4/B top potentially already printed on SVXY volatility derivative (where VXX is also 'pegged') so caution is warranted as 'E' may not print if 'C' was the conclusion to the market up move.

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