With the S&P 500 down over 11 points today – breaking an odd string of low volatility, sideways trading in a tight range price range dating back more than a month – where are the markets headed? Technical analysis off the UBS sales trading desk suggests that stocks could experience a brief sell-off. The more meaningful question, however, is regarding a long-term market top. That is a risk and certain divergences among correlated indicators are flashing warning signs. Watch for a pullback, then rally What is likely to occur over the near term is a stock market retracement trend, UBS…
UBS Trade Desk Sees Sell-Off Ahead Then Rebound
Mark Melin
Mark Melin is an alternative investment practitioner whose specialty is recognizing the impact of beta market environment on a technical trading strategy. A portfolio and industry consultant, wrote or edited three books including High Performance Managed Futures (Wiley 2010) and The Chicago Board of Trade’s Handbook of Futures and Options (McGraw-Hill 2008) and taught a course at Northwestern University's executive education program.