Tuesday, October 9, 2012

Leading indications Intraday

 Commodities are diverging intraday from the SPX...

 High Yield Credit is also diverging intraday from the SPX

 The $AUD is also diverging intraday from the SPX

As is High Yield Corporate Credit.

However on each of these breaks, they are getting nastier and nastier, I think our longer term charts have been right on...

 DIA long term chart-2012

 QQQ 4 hr. 2012

SPY 4 hr 2012

According to these, a move like today is really nothing, there's a lot of downside in these long term leading negative divergences, this is why I want to be a seller/short seller on price strength.

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