FRIDAY'S ACTION

We're in a flag formation which is much expected after a -10% move down. Friday was an interesting day where we just zigzagged up and down forming a triangle for most of the day. And yes, we did have another WTF moment in the last hour of trading. I can almost say that the spike in the last half-hour was due to program short-covering because the volume just didn't convince me that it was real buying. If we do not breakout from this flag, then this is a bearish continuation straight down to test the lows.

SPX 1-day

SPX 10-day

SPX 6-month

NASDAQ 1-day

NASDAQ 10-day

NASDAQ 6-month

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