24 January 2013

SP 500 and NDX Futures Daily Charts - Divergence Compliments of Apple

There was a big divergence today between Tech and the SP compliments of Apple.

After the bell AT&T missed earnings, and Microsoft missed revenues. Starbucks was in line.

Intraday commentary in which I discuss the policy errors of the Fed in relation to consciously funneling monetary stimulus through financial firms and assets, bubble-wise.

I think the market is greatly overbought and would see a correction, but VIX remains extraordinarily low, so it would be shallow or at most a 'wash and rinse.'

It will take a macro event to break this ramping, and it might not take all that much given the thin volumes.