Markets Ready to Turn?

Tuesday, July 15, 2008

What has killed the market in 2008? Two things: crude is up nearly 50% YTD and financials are down over 40% YTD. My posts today consist of a possible bottom in the XLF, a possible top in the USO and a nice spike in the VIX. This market cannot go higher without the financials so the action in the XLF is very encouraging. Crude oil has held this market hostage for all of 2008 so a top would be great news for the market. The VIX finally spiked above 30 before settling back below signaling a significant amount of uncertainty entering the market. All good signs...

The dynamics for a market bottom are beginning to show!


Post a Comment