The important 9 June end date for the 2 current T structures certainly produced an exciting day at the funfair – something for everyone.
Perhaps the sign of things to come – an increase in volatility – as the market makes a new high, reverses dramatically, plunges below the cover level, and then recovers in a late afternoon rally into the close.
Significant damage done, but the T volume oscillator ends the day positive indicating overall positive breadth and the Buy Signal remains for now. In contrast the OSc oscillator is falling and looks like it may make a 'sell' signal in a day or two and is signalling a slowing of the bullish momentum.
Although the market may grind or chop higher, short term the risk of a more serious decline are elevated. Trade carefully.
Be prepared for whatever comes next:
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Disclaimer: This is the diary of a personal trading system, its methodology and the signals that it is producing. You are welcome to follow along but please understand that the information presented here is for educational purposes only. No recommendations are being made to buy, or sell stocks, options or futures contracts. Please consult your own financial advisor before making any investment decisions.