Market Update

You've heard it hundreds or maybe thousands of times depending on how long you've been with us, but here goes again. We see head fake moves over 80% of the time before a reversal on every timeframe. So that's something I'm on the lookout for early today, there's really only 3 averages that have a clean enough range for the move, the SPY, QQQ and DIA; the IWM's range is too wide.

Here's what it would look like, if we did get it on positive divergences confirming the head fake, I would probably kick up my commitment to the leveraged longs. ES has stayed positive throughout the morning.

These are definitely the most unpleasant and nerve racking market events to go through, but they also tend to be the best signals for timing a reversal.

 DIA with what could be a small Crazy Ivan shakeout/head fake

 The QQQ head fake range that would have to be hit.

 And the SPY with a possible Crazy Ivan too.

ES positive throughout the morning.