Quick Market Update

1:30 still is a mystery

Yesterday I noticed what looked like a breakdown in small caps, this was before the 3 p.m. JPM announcement. In looking at today's returns on the major averages, it seems like that breakdown I noticed in small caps was for real as the IWM is the weakest on the day:


IWM -.92%
SPY -.24%
QQQ w/ a Doji star +.12%
DIA w/ a Doji star +.07%

 After looking a little more, the DIA did catch the 1:30 negative divergence, but still it was a sharp move, you can see a recent positive divergence formed as the Dow crossed in to the red, right now it's not too far off support from yesterday's close.

 The DIA 2 min shows the "pre-F_O_M_C" announcement and after 2:15, in the yellow box, there's no positive divergence at the JPM announcement, which indicates to me it was a surprise to most of the market, probably not JPM though. I'll look at their chart later, I'm sure they front ran their own announcement. The 2 min chart isn't looking good here, but we are near the close and the Dow is near support.

 Here's the move on the 1 min SPY, the negative divergence isn't there, it happened too fast, although if I drop down to a Tick chart I can see it.  There was a 2:15 positive intraday divergence and in line at the green arrow.  The SPY is moving down a little now, 3C is in line (meaning moving with price, not divergent).

 The 2 min chart showing yesterday's F_E_D action, in yellow no positive divergence on the JPM announcement, similar to the 1:30 move today. Overall, not looking too good here.

The 5 min chart, again JPM in the yellow box, the weakness from the 2 min i moving in to the 5 min.