What a difference a day makes. Or, in this case, just a few minutes.  The futures before the hot jobs report…

…and, after.The number of jobs exceeded expectations. But, it was the 0.6% increase in average hourly wages that should convince the Fed not to slow their tightening.

Since the hopes of a slowdown in rate hikes can produce a 167-point rally, wouldn’t the dashing of those hopes be worth an equivalent move to the downside?  Fair question.

The answer lies with the algos, which are busy thinking up another bullish rationalization to justify their refusal to sell off. Hammering VIX to new lows should do the trick for now.

continued for members…

The SPY chart is so clear as to be almost unbelievable.  Four tags on the channel top – all within spitting distance of the .707 Fib retracements. The outlook doesn’t really change much. VIX still has the ability to thwart a garden variety decline with a breakdown of its own. And, although the entire argument for a strengthening euro just went out the window, the EURUSD has barely budged. Though DXY has reached very solid support at the purple channel midline.more later…