Market Update

This is a tough call because ever since yesterday when I posted my "Gut Feeling", I actually expected a counter trend move and then we started to get positive divergences while price was moving lower before the minutes and evidence of the gut feeling, then even a price move, BUT, Wall Street NEVER does something like this without a reason and the move thus far fulfills no reason as all.

The charts are kind of all over the place short term, but my gut says the IWM is the correct average and that we do have more on the upside to go before we get the rest of the reversal.

 DIA 1 min is more positive than the move we have seen thus far, this doesn't make sense at all, the move needs to move higher to off load accumulated shares at a profit or even break-even, unless something radically changed their minds and they just want out.

 The same with the 3 min, the divergence is not huge, but much bigger than the move following it.

 Here we are on the DIA out to the 5 min chart, still leading positive, I do believe we have more upside to go, this needs to move people psychologically.

 ES has been in a persistent negative divergence for a couple o days now, we have only seen this at the last 3 major reversals this year.

 The IWM looks more like what I expected yesterday, this is 1 min, but a nice divergence that should give yesterday's highs a run for their money. That's what I want to short in to if I'm to add.

 The 3 min chart looks exactly right compared to the scale of the 1 min.

 And the 5 min looks as if the move hasn't even started yet.

Remember on the other side, the more important timeframes, it is very ugly, that's why I feel safe shorting in to strength, but we have to see some first.

 QQQ 1 min, over? I don't think so.

 QQQ 2 min in line.

 QQ 5 min going negative, I just don't buy this.


 The SPY is actually the weakest looking of the 4.

3 min relative positive, even this should give more bang.