Leading Indications

Yesterday I published this VXX chart (remember the VXX trades inversely to the market).

Here's what I said about this chart...

" Here we have a 1 min positive divergence in the VXX, I used to describe this 1 min timeframe as the playground of Specialists and Market Makers, until HFT firms have made them nearly obsolete. Still the short term signals here can often tell us something about the next day's open. Looking at this chart, I would think we may see a gap down and if you are interested in the trade as described n the link above, it may be a good entry point."


It seems that it was a good leading indication of the market this morning, this should tell you something about the true nature of the market.


I also posted this chart on the 24th

It's a positive divergence of TLH 10-20 year treasury ETF on a 10 min scale, you have to see the rest of the charts for the context, the link is above, but here's what I had to say about this chart...


"There was a positive divergence on this TLH 10 min chart, which makes me wonder f the market will be off tomorrow and we'll see some safe haven buying. We never did get that head fake that I had expected."


This chart too was predictive as we saw by yesterday's price action. The longer term is negative.