The Week Ahead

I think as I said this morning, we pretty much have expectations down for next week's theme, in case it's not obvious, I'm pretty much back to fully short, initially looking for a wider base, but if we don't see accumulation on the way down, then those shorts will just stay in position until the next inflection point.

I have quite a few charts leading and otherwise, most you have seen, I'll post the others after the close, but they are all pointing at the same thing as well.

We do have the F_O_M_C next week, remember to beware the initial knee jerk reaction, the past several ones have been badly wrong and retraced in a big way.

Right now I'm expecting we'll see downside Monday, although there may be some relative performance difference as we have been seeing, largely between the major averages and the IWM.

This is one of several reasons I suspect that...

SPY 1 min intraday looks like we see weakness early next week.

The damage done in October in my view is the market front running the F_E_D. I'm not sure the F_E_D could do much on the QE front as small as it is now, even if they delayed an exit, I just don't think it would matter, it will be all about the dots and rate expectations, but initially I suspect the market will front run the F_E_D again to the downside.

Hopefully you were able to use the price strength and recent underlying weakness to get in to some positions, but remember, there's a bus every 30 minutes, no need to chase anything.

Have a great weekend (Additional charts to come).