The majors reached new highs on Wednesday. Then it started to a selloff in Thursday morning session without any notable news. Technically speaking, SPX hit the Fib 23.6% target from the early January's low. But it stayed above the Fib target for several days. I thought it could have one more leg to reach the Fib 50% target at the 3410-20 area. SPX gave back about 1.7% for the last two days while NQ falls more than 3%. RUT gave back around 1.5%. The dip buyers got knocked on their heads pretty bad today. Both MACD and RSI are turning downward but MACDs haven't had any red bars on daily. This may be a normal technical pullback which matches the majors' seasonality. Early March could be a deeper pullback in SPX seasonally.
My net liq stay at 118K about the same level in Feb. The Leverage and options values are still elevated at 5.4 and -431K respectively. The situation hasn't improved much. The downturn could present more danger if the selloff persists to more than 5%.
The key tasks are survival and downsize. I need to review my plan for 2020 this weekend. I haven't reduced a single ITM position as my plan required for 2020.
No comments:
Post a Comment