The market must have tuned into my brain waves on Friday afternoon, as a nice pop in the last half hour changed the signal from xCC to xFC. That didn’t change the positive CO picture for today very much.
I submitted an article to SeekingAlpha yesterday discussing Kwatz (new name for kwat). The signal for CO today is produced by the yKwatz which I guess should be y1 instead of x1. The signal for OC today is produced by the tKwatz, which is built using OCy = 1 and COt = 2. COt seems to be positive into the open so tKwatz should be t3.
xFC and t3 are both not great for OC excursions. That suggests that additional size picked up on the positive Friday afternoon situation should be sold. It does not suggest going flat or God forbid – short.
I’ll give SA a chance to publish my article before going into more details.
