Most of this week the NDX ha shown better 3C strength than the other averages, that was no more true than earlier today. We can see some of that in the S&P and NASDAQ futures.
CONTEXT for ES was positive around the US open, since the model is negative vs ES.
We see similar findings in the ES 1 min chart, about the time I said the market looked frothy, ES made its high and has continued to deteriorate on a 1 min chart.
On the 5 min chart ES is not being confirmed as 3C is lower than ES, again that frothy look.
NASDAQ futures like the QQQ charts have been stronger than the rest of the market.
Even now though the NQ futures are starting to deteriorate more.
On a 5 min chart there's a relative negative divergence so according to this chart as well as CONTEXT, it looks like the market is frothy and likely to consolidate back a bit from these levels.
I'll take a look at what's happening with the market averages as their divergences usually play out the next day whereas futures can play out overnight. I'll be closing half of the URTY trade from this morning, perhaps I'll add that half back, but for now it's a decent quick gain in a frothy market.
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