Quick Futures Update

I have received a few emails wondering about a weekly options expiration pin, we have seen a lot more of that behavior, whether because they are getting more popular or volume has been lower or both, I don't know, but we have seen a lot more recent action that looks a lot like a pin. I really don't know whether that's something in play, it's always possible, but I don't have any information that would lean either way so I don't have an opinion on that.

I do find the futures interesting and ES (SPX) in particular.

 ES has been in a leading negative divergence for quite a long time now, so there are two possibilities, both bearish, one more than the other. There's the straight up distribution in this area which is somewhat rangebound (I mention that because we often see accumulation/distribution in flat ranges) or it's the phenomena we have only seen 2 or 3 times over the last year and that's the persistent negative divergence which led to the first set of core shorts for 2012 during Q1 to double digit profits (every single one of them) in a little over a month and we saw a positive version of it going in to the 6/4/12 lows that led to a nice ride north until QE3 was announced. Obviously the second option has a larger impact, but I can't say that it can't be option 1 and 2 together.

 NASDAQ futures are leading negative as well, they do have a little better recent action with a relative positive divergence (relative divergences are weaker than leading divergences). I'll keep an eye on it to see if it lasts.

The EUR/USD still has a negative divergence in to the highs.