Navigator Oracle™ - Interim Update | Archimedes Methodologies

And so it begins...

Barclays has announced the suspension, until further notice, of any additional sales from inventory and any additional issuances of iPath Pure Beta Crude Oil ETN (ticker OIL) and iPath Series B S&P 500 VIX Short-Term Futures ETN (VXX)

According to a press release, the suspension is because “Barclays does not currently have sufficient issuance capacity to support further sales from inventory and any further issuances of the ETNs”

ETNs are exchange-traded senior debt notes usually linked to a benchmark index. They are similar to ETFs, except they hold debt rather than equities.

The major indices, including the S&P 500 index, were already in freefall but accelerated lower after the headlines hit.

The market is breaking the Covid Crash trendline at the moment, but it could be a stop run. We are at the Expected Move Low for the day and below our second major support level.

There might be a long trade on a pivot higher, but it feels like we would be fighting the algos. Market internals are 3:1 negative on both the NYSE and NASDAQ.

The day started on a positive note but failed on a test of the 5-day line. So let’s watch the wedge formation and go from there.

A.F. Thornton

Navigator Oracle™ – Interim Update