Market view

There is not that much to add from yesterday as markets closed near flat ,, so a choppy choppy day.

Just wanna say that usually choppy periods is forming either consolidation or a top - this time I believe its a topping pattern forming as I wanna give you AAPL as a classic example for this.

On the 3 day chart on AAPL I see a very nice topping head and shoulders pattern.

This one tells me that markets gonna head lower very soon imo as its a very clear pattern too me.

VIX looks also bullish on the 5 day chart pattern , so I think VIX is gonna breakout to the upside very soon.

Conclusion:

The only right way now is to stay short and go long via TVIX , EDZ , TZA imo - in case VIX breaks BELOW MA200 and SPX breaks above 1270 then I would most likely take of ALL my short positions - but until then ,, time to short this markets. But just 2 weeks ago I said major rally was comming and since then ,, markets has been ON FIRE - congrats to those who held the longs and made some big money out of it ,, I still believe markets could move higher - but for now I've got sell signals in mkts and I'm very bearish on the EU summit over this weekend per my thesis. Time will tell.