Stocks are trying to rally today, and so far there have been no terrorists threats or attacks and the market seems to be liking it so far. But don’t fret, in only a matter of minutes from the time I post this article the Fed will be releasing their minutes from the October meeting, and that in and of itself can create additional volatility in the market if it deems to do as much. 

But check out the SharePlanner Reversal Indicator below, as you can see, that timely signal it gave us last week was spot on as the markets shed over 3% by week’s close. But now the reversal is already at the mid point and considering what we have seen with 3 of the last 4 bearish reversals, is that they don’t quite make it to the far extremes at the bottom of the chart. Instead, the tendency of late has been to reverse course and rip off a nice size rally. 

With it being the fourth quarter, and 30 of the last trading days of the year providing a net positive gain for the market for twelve years straight, I wouldn’t be surprised to see the sell-off from last week get cut short, and ultimately see the SPRI usher in an early bullish reversal. 

Here’s the SharePlanner Reversal Indicator:

shareplanner reversal indicator 11-18-15

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