Here's what S&P500 did intra-day
It was nicely making an up move in the morning and then took a U turn and sold off quite dramatically from highs - about 0.72% from the highs
The Big question: Why it sold off from highs? - Well there can be many reason like profit taking at highs but everybody blaming it on threat of Nuclear War now (Cuban missile crisis type moment for Donald Trump)
— Bloomberg (@business) August 8, 2017
How does S&P500 look on chart now
S&P500 is still trading above 20 day moving average and in a sideways consolidation zone. S&P500 closed 6 points in the red....so that does not look that scary and yes it's surprising
Simply amazing when you read the headlines and then consider this is the least volatile 14-day period in the history of the S&P 500 ...
— Ryan Detrick, CMT (@RyanDetrick) August 8, 2017
And yes the Fear Index ETF VXX still down and out
Bizarre trading day and yes Bears can scare the world....but despite all the negative headlines - Bulls still in good shape.
Disclaimer – The state of the market notes is Deepak’s perspective on the market. The column is purely for educational purpose. Nothing contained herein is a solicitation to trade or a recommendation of a specific trade. By reading this publication you agree to make no trade relying in whole or in part on the comments of the writers