Market Update

Another Interesting/Volatile start to the day.

Here are the charts...

 The QQQ 2 min intraday picking up some strength on a move just below first support at yesterday's close...

 QQQ 5 min looks good...

 As does the 15 min chart which is typically a pivotal timeframe for a reversal or trend along this timeframe (swing).

One of the reasons I think the Q' and Tech look better than Industrials and Financials is AAPL believe it or not...

 The bait was taken on yesterday's bearish descending triangle and now price is moving above that triangle with a positive divergence at the break below, which is what we want to see on a false break.

 SPY 1 min is in line, it's not negative or positive, but looks like a shakeout of $143.

 ES which was negative pre-market at JPM earnings on accounting gimmicks to beat, is now at a positive divergence, SPX should see some upside shortly.

 JPM went from pre-report of $42.99 to a post report low of $ 41.14 and after filling the gap, remain volatile, almost as if it were a surprise they beat on an accounting gimmick.

 SPY 2 min is also positive like ES, which makes sense as the ES charts are stronger.

And there's been no damage to the positive divergence for a swing move that the SPY 15 min chart has put in.

Some other indications this morning...

 High Yield is up vs the SPX, credit almost always leads stocks, even on an intraday basis, but there's a longer component too.


 $AUD/FXA is positively divergent in the same area as 3C vs the SPX, this has always been an excellent leading indicator.

 Even the Euro is positively divergent, which means the SPX should move higher based on legacy arbitrage alone without divergences.

Finally High Yield Corp. which has been an excellent leading indicator is leading the SPX quite strongly, credit leads, stocks follow.