SPY Update

As mentioned in the last post, the improvement intraday is picking up steam, but as we all know there are many different trend/timeframes and outlooks for each, I don't want to mislead with a bunch of nice looking SPY positive divergences so I'll try to keep this in context, really nothing has changed about short term and longer term outlooks since last night's post that went over both.

 SPY 1 min gaining even more momentum in this lateral chop or consolidation, now on an intraday basis it is leading positive at a new high.

 For perspective though, this is the same 1 min chart zoomed out so the trend is visible, like I mentioned last night, an upside pop in the near term looks very probable in the market, AAPL, etc, but there's still a very large, dark cloud overhanging the shorter term trade. This is actually good because it lets us set up trade ideas in advance, look at which stocks we may want to short in to short term strength -i.e. AAPL.

 The divergence from the 1 min intraday is migrating along the timeframes and is leading at a new high on the 2 min chart so this looks good for our short term expectations.

 This 3 min recently peeled off in a strong intraday leading positive divergence so again the migration through the longer timeframes is what we want to see and is happening.

For more context though...

Although intraday the 5 min chart is starting to see migration as well with some positive divergences, keep in mind the bigger picture. This is why I chose to use leveraged positions that can amplify a smaller move and I can close them quickly when the time comes and prepare for longer term positions.