Kudos to MMs

Quote from shortie:

could this situation be analogous to a chemical reaction when the activation energy is high? so, even though the reaction is favorable by the energy differentials between point A and point B (your FV diff), the activation energy is too high at the moment for the reaction to take place.

http://en.wikipedia.org/wiki/Activation_energy
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Sure it can. I find market analogies with physical theories to be rewarding. Some analogies are better than others imo, but that is not the point.
 
Quote from nitro:

.... For example, maybe the equation is 0 = "FV" - ES + VIX^(FractalDimension(SPX)), in which case "fear" is the missing variable...[/B]
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BTW, for those that find this sort of thing interesting, notice that this "model" is what is termed a mathematical equilibrium, and hence that markets are equilibrium seeking.

Complexity theory says this is wrong because markets are adaptive and modify the rules that govern their own behavior. Hence the "equilibrium" doesn't become a single price, but an attractor, almost certainly chaotic.

http://en.wikipedia.org/wiki/Attractor

PS The model as stated is also written down wrong. It should b 0 ~ ES - FV + VIX^(FractalDimension(SPX))
 
Stage 1 achieved. NQ is at least as strong as ES.

Now, patience padawah. 692 first target. 700 second, gap fill at 712 third.
 
Ok. 700 SPX may be sold temporarily as profit taking. Doubt it, but would not be surprised.

Either way, 712 ish is the only logical place to take some profits, and even that is chicken.
 
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