XLF Update

XLF is the financial sector ETF and is important to the S&P-500 as that's the index most heavily weighted with financials, I believe around 22%.

 This chart has a familiar pattern. One of the best things you can do in reading charts is to compare all different timeframes and indicators, the more pieces of the puzzle you assemble, the higher your probabilities of a successful trade. That's what 3C stands for "Compare, compare, compare"

 Looking at an hourly chart, the pattern emerges, a small Head and Shoulders top.

Looking at the 15 min 3C which is excellent in calling swing reversals, we see confirmation at the green arrow, there was little f any distribution then, however as prices climbed, shares were distributed and negative divergences appeared, even a current leading negative divergence. Once the trendline of the H&S is broken, we should see a reversal in financials which will put a lot of pressure on the S&P.