Other Indications

It's really too early to get a good feel from risk assets in the Leading Indicators layout, but if they were confirming with price, that would be usable information, as it is they haven't been able to add anything since the morning of 1/22 at 10 a.m.

The only thing moving that is supportive of the market is the EUR, it's in near perfect sync with the SPX and remember there's that large triangle to deal with in the EUR/USD which as I said yesterday, is not likely to be a clean cut affair, but with France's data today and Germany having the first of two legs down needed to enter a recession, the core is truly infected, all the bailouts essentially mean nothing a they were meant to protect the core (Germany and France and in that order).

In any case, that triangle is now being dealt with, it won't be clean, and it almost certainly won't be what it looks like now, that's why I said days ago it wouldn't be a clean cut affair, but it has to be dealt with and interestingly as other things seem out of place, it is starting its end story.

 The larger triangle and this morning's break above, this would be the textbook approach to a triangle in this position, which sets this up as a fairly high probability head-fake/ shakeout, the EUR/USD is not going to move down before hitting orders above the trendline

Here's a closer look.

Interestingly, my favorite currency for leading indications, the $AUD is headed the exact opposite way of the SPX, down.

High Yield Credit is also not following, but rather moving down as the other two are moving flat.

Interestingly the commodity complex isn't benefitting as you might think from the higher Euro and lower dollar, but energy is which is something we've talked about the last two days, "Energy not quite being there", however oil is most definitely lagging Energy.

Meanwhile, NASDAQ futures have gone negative and ES futures just started going negative, time to switch layouts back to 3C...

 ES just turned negative more recently...

NASDAQ was in line a bit earlier, but has been leading negative for a longer time as has the QQQ