Markets recovered nicely off what looked like a down day. It’s not that surprising since we closed last week at the highs. Being short is really hurting a lot of traders.
Small caps (IWM) and transports (IYT) are notably weaker today, down 0.60% and 1.25% respectively, along with oil & drillers (XOP) down 2.17%.
Natural Gas continues its freefall with crude flat on the day. Gold’s down a touch with bonds up almost 1%.
Interestingly, the VIX dropped hard but is still up almost 3% on the day. However, the VVIX is down almost 1% on the day.
It’s a lot of mixed signals at the moment. The market looks like it’s in the last throws of its run. But, stepping in front of this train never paid yet.
