My Answer: Neither… But If you really insist, I would say the Bear had a slight advantage over the Bull towards the closing.
Let’s review. As per my earlier posting, I was expecting HK to gap down, which it didn’t despite NK coming off from its high. HK open 2 points lower after lunch and recover immediately, likely due to SIMSCI and Shanghai trading near the high. However the initial gain after lunch was short lived and HK began to go sideways, testing OP several time before closing slightly below OP.
Let’s review all the markets.
1) All except HK and TW closed above OP
2) SIMSCI and STI, being the last market to close, both ended near the high
Hence, the Asian markets are mixed about their outlook of US market tonight. Since SIMSCI and STI close near the high, I do not expect US market to end off too far off below OP. There is a good likelihood of selldown in early trading before recovering near to OP. Since the markets aren’t giving me a clear signal, I would expect US market to be choppy in today’s trading.
So what’s the game plan tomorrow? Seriously… it all depends on how US market performs. Everyone is expecting a pull back first before further rally.
Could it be tonight?
hmm….
CK
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