Market Update

I'm doing some more checking, last night's post regarding the nature of trends seems to be pretty timely in several ways, one of the ways that interests me is volatility and daily ATR which seems to be a lot different so far this week, although there are plenty of reasons why, the G20, the apparent internal spat at the ECB over whether to devalue the Euro or not, Japan closed, the Chinese Lunar New Year this week, light economic data, etc. So I can't assume there has been a trend change, perhaps an interruption, but as always any change of character needs to be investigated.

In the very short term/intraday charts in the 1-2 min range, I see some positives building in the IWM, the Dow and still the 1 min ES, while the 5 is problematic for the market.

I want to warn you about that, it may just be slight adjustments to keep the market range bound until more definitive data is released, it may be something else, but I need to take the time to look at leading indicators and the carry currencies. The thing I keep thinking about is the positive divergence in High Yield Corporate Credit, even though it is one of the most negatively divergent risk assets in price vs the SPX, which is bad for the market, but the shorter term 3C divergence is still there and whether it is HYG oversold or something else, it's never far from my mind.

So I'm going to take a closer look, but I wanted to get this out first.