Looking at the ISE, CBOE Option data and the fact that some Call/Put ratios have already flipped upwards on this big down day, I get the feeling that we are setting up for a 'typical' negative divergence.
In this scenario we would see some miracle 'Yeah, we saved Spain...QE X is coming - ' rally into the end of the month before hitting the 'SELL IN MAY' brickwall.
There is probably a good 50% chance for that outcome.
No comments:
Post a Comment