5 Week

Happy weekend everybody!

S&P finished lower on expiration Friday, and we are about to start one of only a handful of 5 week expiration cycles. Anything can happen in a 5 week cycle, and it feels like traders are going to try and push this thing lower. To make this clear, I am not a directional trader, so I’m not on the sidelines praying for lower tape. I am simply writing how I see it, and I see a retracement to 1115/1120. That’s not a massive move, but it will strengthen the market in the long run.

Currently the market is trading in a tight channel, not much to talk about. Keep your eyes on any violation of either of the channel lines.

Have a great weekend and I will see you on Tuesday.