ES Update

As you know I just got back from the doctor with my wife, she is still there, my mother came to stay with her as she doesn't understand complex English being from Hungary and there were some scary words being thrown out.

In any case, it will take me about 30 mins to get caught up on where we are at, but so far, price wise, we are pretty close to the scenario I mentioned, "A pullback to accumulate and a final blow off top push". Price is in the range where that could happen, like a doctor, I need to verify and rule out certain scenarios to find the most likely probability, which is what I'm in the middle of now.

For the time being, lets just take a quick look at ES

 I have to get caught up on the European action, but ES did rise from the EU open at the white arrow and saw a negative divergence in to the early morning, pre-market highs. ES also saw a small positive divergence just after the market open which is close to being in line with price.


The broad CONTEXT model which is an amalgamation of a bunch of different assets like Credit, currencies, rates, equity prices, etc is currently showing ES as overvalued as the model has dipped lower than ES has, this may be an early sign of some Wall Street support coming in to the market like we saw last week as the market started to lose its footing, Wall Street stepped in with some minimal support that we saw on the 3C charts and halted the slide and got the market to pop on Tuesday, this may be a similar scenario and would fit with the one theory I've already put out.

So I'm looking at the averages and the different time frames, I'll update you there shortly.