Market Update

Last night I said this about the market,

"As I mentioned in my last post, there's fewer bullish looking charts right now then bearish (at least per my crossover scan-with very recent results) however, that is often a sign that the market may be overextended or oversold. We saw a very mixed market on Friday with the Dow performing the best at +.41%, the S&P at +.24% and the NASDAQ 100 which was the most dominant in terms of percentage change coming in at -.78% so the market may in fact be oversold and divergences between the 3 averages of this magnitude rarely last long."


Today, here's what 3C is looking like on the 3 major averages thus far. 

 DIA 1 minute shows a small negative divergence, there may be some loss of momentum, but it's not large enough in my opinion to create a reversal as of yet.

 The 5 min 3C chart on the DIA is confirming price's trend this morning.

 The QQQQ is showing near perfect confirmation, already up by .90% it seems last week was quite oversold.

 The 5 min Q's chart, again near perfect confirmation.

 The SPY 1 min is showing a small negative divergence, but agin, not strong enough for  full reversal yet.

The 5 min chart has good confirmation.


As of now, the averages are looking stable. There is the inherent breadth weakness as I highlighted earlier with GOOG/BIDU and others, but nothing goes straight up or down. Whether this is a move of consequence or not, we'll have to see how 3C holds these gains.