Recap Dow tried hard to stay above Y+1 and its failure to do so led to a pullback capped by 50% previous week range. Strong rally off the support brought Dow back up to week high and above. Closed the week above Y+1 and near week high.
Outlook Interesting option expiration price actions from last week points to the potential of a sharp pullback is in the making. Another FBO against B+1 will easily led to a quick selloff back down to B-1 and below.
Lawrence's Comment
Recap
Consolidation during first half of the week was followed by explosive short squeeze from FOMC announcement. ES pushed to new high for the year. Closed the week above Y+1 ...
Dow 30 Oct 19 to Oct 23 Outlook
Lawrence’s Comment
Dow tried hard to stay above Y+1 and its failure to do so led to a pullback capped by 50% previous week range. Strong rally off the support brought Dow back up to week high and above. Closed the week above Y+1 and near week high.
Outlook
Interesting option expiration price actions from last week points to the potential of a sharp pullback is in the making. Another FBO against B+1 will easily led to a quick selloff back down to B-1 and below.
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