Market Update

I'm a bit anxious for this market to do what it needs to do and get us to the opportunities, however we are seeing the typical a.m. trade thus far, there's really not much going on, but I'll show you some of the basics anyway, then I'm off to scan the market and look around to see if there are any interesting set ups despite the market right now.

I did take an early look at leading indicators, they look pretty good, Credit is in a good spot, Yields as well, currencies are little changed and aren't providing any real insight and commodities are also pretty mellow right now, mostly because of where the EUR/USD is and the $USD specifically which is little changed, up about 0.09% on the day, but well within yesterday's range (it was the close yesterday in the $USD that dipped and makes the $USD look like it's up on a percentage basis more than it really is next to yesterday's range).

On one other note, the 9:55 University of Michigan Consumer Sentiment came in UGLY, what is interesting is that this report which is probably one of the most sensitive at this time of the year right before Black Friday, didn't have the effect on the market you'd normally expect which would be an immense sell-off. Sure the market dipped a bit, but again the news flow whether from Europe, Israel or the US has had some nasty stuff in there and the market has taken it in stride, this to me is one of the hints of where you are in a market cycle if you don't already know. In a bearish cycle this news sends the market plummeting, in a bullish cycle the market hold up or regains ground fast like we saw overnight.

On the U of M number, 2 weeks ago it came in at 84.9 which was a huge, multi-year beat, the final missed consensus of 84.5 and came in at 82.7 which is the biggest miss of consensus in 4 years. Like I said, even with Black Friday right around the corner, the market took it in stride, even the TICK maxed out at a -800 reading which is still pretty mellow.

 Here's te 1 min IWM after pulling back from the UofM Consumer Sentiment it led to the upside a bit, but...

 The longer term 3 min chart's negative position should limit the upside and we should eventually get to the pullback the short term charts have been calling for.

 The QQQ 1 min almost in line intraday this morning on the 1 min...

 Again even though the intraday 3 min chart is in line, the trend is at a negative divergence just like the IWM so again we should see that pullback soon, unless the plan is to just stuff the market with algos to get a headline print before Black Friday, but I think we'd see evidence of that in the short term charts.

 Just for some more perspective, this is the 5 min QQQ chart which went positive before the lows of last week and is in line, so in many of the averages the short term negatives are really not that bad and as fast as the market has been moving this week, I really have to keep an eye on it. Point being, at least on the QQQ the short term damage isn't that extensive.

 SPY 1 min in line for the most part, pretty boring.

 However the 2 min chart is still signaling the same pullback I said yesterday I thought we'd see today.

 ES has started to respond to the negative divergence that was in place in pre-market trade.

 As have the Q's

The TICK still remains pretty positive even for this market action.

I'm going to run some scans and look around to see if there are any surprises creeping up on us, as I said before this week the market has been VERY fast moving with regard to underlying trade.