The CONTEXT model has been all over the place, but the model is diverging badly with ES right now (The Model represents where ES should be compared to other risk assets so ES/S&P would be considered overvalued or as I would call it, dislocated).
Commodities have been the stronger performing risk asset this week and you would think even more so with the announcements yesterday out of the Global CBs as well as China's, but today commodities have not been able to surpass yesterday morning's opening highs. They are now dislocated from the S&P.
Here we see the JJC Copper Index opening lower today and diverging with the market.
USO opened lower as well and has been unable to surpass yesterday's a.m. highs as it leaked lower all day.
High Yield Credit still hasn't passed last week's highs and although it is difficult to see, unless you compare the green S&P and where it was back then as opposed to where it is now, there is a major dislocation in credit.
High Yield Corporate Credit has been performing well this week, today seems to be the first day it has broken with the S&P thus far.
Here's a larger view.
Financial momentum rallied bak hard yesterday, especially into the close, today it is diverging lower thus far.
Finally yields have not broken above Monday's highs and remain dislocated all week from the S&P.
More updates coming
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