Just to show typical expiration market manipulation, here are concurrent 2 minute charts of the VIX and NYAD highlighting the afternoon VIX poop and scoop that provided a true Prozac moment for more than a few traders. The entire event occurred over only 6 minutes and, perhaps surprisingly, raised barely a blip in the NYAD although many of the big caps clearly felt the tremor. We’ve seen some signs of strength at yesterday’s close and today, contrary to my prognosis, but my friends over at Goldman assure me that they’re doing everything they can to retest Thursday’s 200MA hit so stay tuned for next week’s action.
