Wednesday Morning

Gator's Chart of the Day: SP-500

Look familiar?  On Thursday we were at the bottom of the channel having completed the zag move on Wednesday.  We found the top of the channel Monday as we completed the latest zig move.  What now?  I'm expecting the expected and look for a continuation of the pattern with the current zag just beginning and headed for a meeting with the 50 day simple moving average.  Does this mean there's nothing to buy and the only move is to run to cash or even go short?  Not necessarily but starting positions now would likely mean a fight against the tide.

VSH Daily Chart

Here's one to keep your eye on.  Buffalo Springfield sang it ... "There's something happening here but what it is ain't exactly clear."

VSH missed earnings on in-line revenue and guided in-line but it popped anyway.  The P/E is only 7.5 and margins held up well so maybe that's it.  If so, it could easily see a move to 12.