Market Update

I wouldn't call today's action (at least not how it started) as a coordinated effort to fill some gaps, but I would say that the environment was favorable to do so and I wouldn't be surprised to hear market makers and specialists were pushing the b/a higher in order to achieve that goal while they had the opportunity.

Remember what I said about bear flags earlier and our expectations about how they will behave contrary to popular technical analysis dogma.

 DIA bear flag fills 1 gap, the other "should be left unfilled" however the rumor mill/news cycle could produce the same opportunity as today, although it's been very quiet compared to this a.m.

 DIA 1 min -the underlying technicals suggest that this has been an uphill battle and that it is near the end. The last hour of trade should be interesting, especially if the rumor mill stays quiet.

DIA 5 min-you do se how the bear flag was broken to the upside as mentioned earlier and now the negative divergence on that for reasons I explained earlier.

 IWM gaps and break out from the bear flag which according to technical analysis dogma, is not supposed to happen, everything in the books on bear flags shows a clean break down from a bear flag.

 IWM 1 min is leading negative

 as is the 5 min

 QQQ bear flag and gaps

 QQQ 1 min

 QQQ 5 min

 SPY gaps and bear flag

 SPY 1 min -it is worth mentioning a lot of inline trade until the bear flags were broken.

SPY 5 min.

And finally ES keeps making lower lows/lower highs in 3C and is now deep leading negative.