It’s just another line in the sand on a chart, but it’s so widely followed it should start to get folks’ attention. The real question, is whether it will be used as a buy point, or a major risk-off signal for institutional money.
It seems news flow will drive the day. On one hand I’m asking myself what else is ‘out there’ in that regard as risk repricing continues; on the other, we have to look to last August to know what can happen when long-term support is broken in an increasingly technical/ quantitatively driven world.
