Much of the night was spent in a narrow one-point range for the E-mini S&P, hovering just under Thursday afternoon's 1965.00 highs. Sliding into and out of Europe's opens tested the range's 1959.00 lower-end.
Not holding a test of 1982.50 support through 9:45 was this morning's preliminary signal that the bias-down would trigger. And 1982.50 support did not hold. In fact, at 9:45, this morning's 1979.75 bias-down target was being attacked.
Today the E-mini S&P is up 5 points to 1988.25, inching closer towards the key 2000 level. We would not be surprised if this level was even hit tomorrow, especially if both Yellen and ECB chief Mario Draghi assure markets that stimulus will be here to support equities.
According to Socionomic theory, social mood turns incredibly angry several years after a financial crash. This one is playing right up to every anticipation I’ve ever had when comparing to the panic of 1907 leading to the war.