Opening Confirmation

The difference between opening confirmation in the averages or a lack of it (negative opening divergence) is a simple matter of whether the average opened green or not. This alone tells us something, although I never take opening trade too seriously as there's a lot of manipulation and noise, but it would suggest, "If there's an opportunity to sell in to higher prices/demand, one will do so".

Just as AAPL showed us yesterday, shares stopped out can be bought on the cheap as the stop creates a lot of supply. The same lesson can be applied to the upside when we are in a distribution environment. The DIA/SPY both confirm, the QQQ does not.

 DIA confirmation on the 1 min opening chart, yet the DIA didn't do anything, there's nothing to sell in to.

 The 1 min QQQ jumped a bit as you might expect with AAPL, there's zero confirmation.

The SPY 1 min didn't do anything on the open either, it is in line or confirmation. If you are wondering if it is too early to take such measurements, look back at the last post, AAPL was able to confirm the open quickly on a 1 min chart.