The average of the averages

Below is the zone in which we saw positive divergences yesterday

 DIA the white square is about the area where positive divergences occurred. If there was any accumulation this morning, you can average that down a little and you can see roughly where the market would need to be to get to break even, although this is quite a rough depiction as we have no way of knowing how many shares were picked up where.


 QQQ


SPY

 NYSE specialist (unlike the NASDAQ) actually choose the opening indication and in some cases, when to open the market, it's not always at 9:30. An old day trader trick was to buy the a.m. lows in the first 5-10 minutes as the specialist would usually open the market close to what they thought the lows would be and then move it up from there to fade the open. It's a bit more complicated with ETFs of the averages themselves, but ETFs do at times diverge a bit in price from the underlying asset, this is one reason I prefer to track the ETFs rather then the average, volume and demand is different and you often get better, faster signals about intentions with ETFs.

We'll see if that old day trader secret still works shortly.