S&P 500

The S&P 500 is attempting to get past the 20 DMA at 3108 and breakout above the falling blue trendline at 3121 to start afresh rally. The last few weeks of June were essentially a consolidation based on the price action so far. The higher level of volatility is just the new normal that we will have to get used to. As discussed earlier I do not expect the US VIX to fall below 20% in the cycle. We are still to discover where the bottom end of the range is. Gone are the days of hundred point Dow movement.