Thursday, October 13, 2011

Market Update

 DIA 1 min with this morning's positive divergence and the negative divergence that caused the last pullback, generally speaking, the divergences will start on the shortest timeframe and then as they get stronger move to the longer timeframes, so if this 1 min chart falls apart more, it will start to effect the 2 min chart, if that falls apart then we'll see weakness on the 5 min chart. This process already happened as far as the positive divergences this morning.

 DIA 2 min with an early positive divergence and in line trade.

 The 5 min is still strong intraday and I would still expect intraday upside until this goes negative.

 IWM with 2 different intraday accumulation points on the 1 min chart, but the 1 min chart is looking negative now and it is at best consolidating sideways, rather then making a new intraday leg higher.


 IWM 2 min chart with the early pos. divergence and a leading positive, however, there's a little more downside on the right side of that leading divergence in the box.

 IWM 5 min chart also in a positive leading divergence intraday

 QQQ 1 min is starting a negative leading divergence

 The 2 min has as well

 And there's a 5 min relative negative divergence. Again, if the 1 and 2 min continue to deteriorate, the 5 min will.

 Here's the updated SPY 1 min

 SPY 2 min

SPY 5 min


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