Chart Update as LTRO “saves” the World
The long awaited LTRO is out. People still seem to think curing the patient with more morphine will help. The initial reaction is fading. As we outlined several days ago, “markets should consolidate during the last days of trading“. We still believe this to be the case. The bulls are having problems lifting the market above the resistance levels, while the bears still feel “confused”. As people sell vol in panic, some cheap gamma is coming up for 2012. Below short term chart levels.
MIB, the leader?