Markets put in a sour session Monday to begin the week, much like they did last Friday, as the indexes sold of late in the day after decent intraday gains early on. The Nasdaq fell .7% and the S&P 500 by .8% after being up close to that amount near lunch time hours. The chorus of prognosticators calling for the S&P 500 to reach the very round 2000 number (would be a 61.8% retracement off November highs made last year) before a fall has almost become deafening, and when many market participants feel the same way the expected outcome rarely arrives. Materials and utilities were the only major S&P sectors to advance Monday. Healthcare was the worst performing group today falling more than 1% as many names recorded steep declines. Double digit drops were brought forth by ENDP, HZNP and VRX. For those looking to hedge longs one can look at the VIX. Otherwise known as the fear index, today it pushed above the round 20 figure, perhaps the beginning of some uneasiness popping up investors psyche. It recorded a bullish reversal right off its 200 day SMA and a doji candle Monday suggest this selling off the round 30 number which occurred once in February and twice in January is abating. In my opinion the brief move below 20 on a CLOSING basis a couple times last week looks like a bear trap. Last Friday recorded a bullish piercing line pattern after Wednesdays bearish counterattack candle. Yes confusion reigns supreme.

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