CSCO releases earnings tomorrow after the bell and it’s no urban legend that CSCO’s release often caps tech rallies, at least for a while. Their last release in mid-August bucked the trend and maybe CSCO will rally after tomorrow’s release, but history says there’s a better chance CSCO will disappoint and drop rather than exceed expectations and head to the MOOOOON.
Chart below of SPY showing what happens when the RSI on the 60min charts gets in the 70 range. RSI on 60min chart of $VIX is down at 33 and when this RSI hits or drops below 30 you should expect a bounce of one degree or another for the $VIX, which would mean a pull back of the same degree for the $SPX.
Chart courtesy of FreeStockCharts.com