Eventually it comes back to the dollar.

As I said last night, the recent bounce within the downtrend in the Euro made the environment ripe for a bounce, but today we saw the Euro make a lower low which I think is being reflected in the charts below.

 5 min FX chart  showing the downtrend, recent bounce and in the red box the first lower high, indicates a reversal may be at hand-which would be bad for equity bulls...

 FXE-Euro ETF Trust 1 min 3C showing a negative divergence into the gap up.

 FXE 5 min negative divergence into today's gap up...

 UUP(proxy for the US dollar) showing a positive divergence into the gap down on a 1 min 3C chart

UUP 5 min 3C showing a positive divergence into the gap down