With bid buckets dry, so far the morning portion of today’s melt up has been due to offer chasing across the board as smart money sells to momos and algos. However, a particularly large offer at 1089 in ES is so far keeping the market range bound. Not surprisingly, S&P futures got as high as 1,088.75 before retracing. For now that will be the resistance point, although with today’s hyperbolic market action, in which the first 10 handles off a sub 10,000 bottom were due to a false rumor, our advice is, as it always has been, to stay out of this now completely busted “market.” And with Opex action compounding ridiculous volatility, only masochists and those trading with Other People’s Money would be willing participants to this torture device.
