The market remains at the top of the red uptrend. This is impressive to see the perfect match between the Sigma Whole Market Index and the price action.
The Sigma Trend Index continues to underline a losing momentum market, this situation is unsustainable:
Our short term model remains in sell mode on the NDX:
Conclusion:
The market is stuck at the top of the uptrend. We don't believe it could be able to accelerate and break this uptrend now.
So, with a 5days average and standard deviation of returns at 0.5% (both of them), and the market at the top of its 2 months uptrend, we don't consider we have a major risk to be short at this time. A pullback should occurs sooner rather later.
Short term position:
- short 1 NDX at 2734.9 (stop at 2781.5)
- short 1 CAC at 3783.56
Medium term positions:
- short 1.5 SPX at 1376.22
- short 1.5 CAC at 3103.87
