The 3 Pillars and AAPL

Here are the 3 most influential "Risk/Rally-on" Industry groups (Financials, Energy and Technology) as well as the fulcrum stock of the market, AAPL.

This seems to give evidence to a small bounce as this rally has been intact long enough that its habitual, people are use to it, they won't give up on it that easy and are more likely than not, apt to see this as a "Buy the Dip" opportunity as not much is down by more than half a percent any way, especially the AAPL die-hard longs. Technically today is a big mess.

AAPL

 A 1 minute positive divergence, this is the fastest timeframe (except for Tick) and as such, the least influential, signals here are generally intraday, although the trend of this timeframe can be very useful. In any case it looks like there was some accumulation on a small scale in AAPL at the lows, this could be retail alone.

 Anchoring the negative character of the action in AAPL today is the 5 min chart, which doesn't sound that much longer than 1 min, but it is much more influential, as you can see, the move in to intraday highs was sold hard by institutional money, this can include short selling.

 The 15 min chart also is not only at a strong relative negative divergence this a.m., but also a steep leading negative divergence that started as AAPL ran to intraday highs.

The question in my mind is whether they run AAPL/the market up a bit as my initial gut feeling suggested as that would give traders some confirmation and more would enter the market OR if they just caught some more longs in the fly paper today and will just drop the hammer tomorrow on the open? As you can see, stops were hit around 11 a.m., but then there was some buying at the lows and again right at the 50 bar 5 min moving average-that's almost certainly retail.

 Energy 1 min fell off hard the last few days, I feel really good about the USO short/Puts.

 Energy 3 min, it's not coincidence that 3C deteriorates as badly as it does just as Energy breaks above resistance and 3C continues to deteriorate in a flat trading range.

 Energy's 30 min chart has transitioned clearly from price/trend confirmation to distribution.


Financials

 Financials saw a huge move in 3C on the 1 min chart today even among an already negative trend, this is a really extreme move.

 The 3 min chart did the same in to the last week, but it has been progressively worse the last few days.

 Locking in the downside, the 30 min chart is heading for new lows as XLF hit new highs, the spread on the divergence is huge and on a VERY important timeframe.

Technology

 Here's where it gets interesting, the 2 min chart just fell completely apart, I mentioned this yesterday about the strength of some of these 3C moves, today's was no exception.

 At the 3 min chart there's a positive leading divergence in Tech, that fits with AAPL pretty well. I've always said AAPL would be the stock to watch.

 Locking in the downside in Tech, the 5 min chart has gone from bad to worse to something almost indescribable. A lot of damage was done today, but it's the trend of distribution that really speaks.

Look at the movement in the 15 min chart in several days, all the way to a new leading low well past anything on the chart.

Thus, if we have any price strength, ti will be temporary and I'd use it to short anything I still want to get in to, I don't think they'll be much if any time to do this.