Tuesday, May 8, 2012

Market Update

 The DIA looks the weakest of the 4 majors, this is the 2 min, leading positive, this is a pretty good signal, but seems it would suggest more of a "V" recovery if it holds, which is unusual, but with as many stops as have been hit, it is plausible.

 The 5 min has a long relative positive divergence and today is in line with price

 The 15 min looks like it should for the price decline in the DIA, it is slightly positive and leading today.

 ES keeps chugging away, volume is picking up

 IWM 1 min has been in line for most of the day, but is in a leading positive position.

 The 3 min chart has a long relative positive divergence and a leading positive that has built in to afternoon trade.

 I already updated the Q's, so the SPY 1 min is more positive than it has been is several days.

 The 5 min looks good here, leading positive.

This isn't the best 15 min chart, but it is still in leading position as it did not confirm the downside.

All in all, these signals look better than what we have seen the last several days, it may have just taken a big shakeout as I showed in a chart Monday that the amplitude of the swing is greater (like a broadening top). If Greek headlines don't go south and the Euro can hold up, I would say there's still a decent chance we get this one last move, as hard as it may be to imagine based on price, but considering volatility and amplitude, it's very much a possibility.

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