As predicted....BOING!!!

Well Traders, the $NDX is behaving very nicely in the sense that it is trading in the Ascending Channel just beautifully. This is not necessarily good news for me with my December Iron Condor, but it not a bad thing either...yet.

As you will see on the chart above, the $NDX bounced off the bottom channel support line and looks to be making its way back up again. This was interesting to me because the $NDX was actually DOWN for the day until about 2:30 PM, which is when the oil pits shut down. Then all of a sudden, like "out of sight, out of mind," the markets went to full rally mode completely ignoring the surge in oil prices. It was interesting to say the least.

I will be curious to see if there will be a "buyer's remorse" today and see if the markets fall, or if everyone is in the holiday spirit and the Bulls go shopping.

Finally, based on the current chart, playing some Calls or Bull Puts on the $NDX may be the way to go for January. As long as there is no "top," there is no way to really define a trading range, unless you move the chart out to January's Expiration date and use the top of the channel as your 'top." That is a chart for another day.

Happy Trading!