Volatility & Treasuries Seem to Confirm Underlying Trends

At least when it comes to what I just posted,

 "From the looks of these charts, it seems like the market is already pricing in some resolution in underlying trade."

So far this morning, I have posted quite a few indications that look like there's some expected short term resolution that the market reacts favorably to, this is what I believe to be "Trend 1-the pop to the upside".

Volatility seems to be confirming this as well, although along with some of the other indications, it is more recent, but also quite strong where it needs to be.

 This is the Clear Method (slightly adapted) that a lot of swing traders use to identify what is important and what is noise, the white days in the daily VIX are important, they are the uptrend, the yellow days are noise, but most of the time a reversal is preceded by a noise day, today the VIX is down over -8%, consider the VIX typically moves opposite the market, it would seem that some recent hedges that have been put in place for long exposure protection are perhaps being taken off. The trend line is still in effect at this moment though.

 Friday I told you that when an average or something important like the VIX "Walk the upper Bollinger Band", it's a very strong move, again we are still in the area, but if the VIX is showing sign of hedges being taken off, there's likely an underlying tone of more near term confidence in the market.

 VERY short term I mentioned earlier the VXX and UVXY are positive on the 1 min chart, this suggests intraday weakness in the market or perhaps consolidation, that's very much in line with the market update I posted and used the ES chart as an example. We are in a tight consolidation right now, in fact very tight.

 Slightly longer term, but still within the range of what I have been calling, "Trend 1- the pop to the upside", we have a negative divergence in the Volatility Futures ETFs like UVXY here, this fits well with the 15/30 min positive divergences in ES and NQ I posted today.

 When you go out a bit longer to 30 mins it's not as negative, but slightly, this is kind of the outer limits thus far and this is what kind of keeps expectations more along the lines of what I have been calling, "Short term"- at least what we have right now.

Treasuries... These move pretty much opposite risk assets as a flight to safety trade when th market is not performing well or expected to not perform well.

 The 2 min chart is something I have talked about recently and it's leading negative divergence has pulled TLT (Treasuries-long term) down today.

 There's also a negative 5 min divergence-again, these signals are moving along the same lines as the other indications we have seen.

At 10 min there's a slight negative, it is what I would consider the outer edge of the move, similar to the VXX 30 min chart above.

What I'm saying is it looks to me like the market is pricing in a favorable reaction that is in line with our first trend, a quick, powerful move to the upside, TREND 1.