So far everything is going as expected yesterday. I need to keep an eye on 3C which is mostly confirming the intraday move higher, we should see prices above yesterday's highs before this move is done, but I expect as we move in to yesterday's close (the gap fill) we'll see some intraday resistance/ short term negative divergences.This is where we want to be looking at selling our calls in to strength as we did yesterday from Thursday and Friday's calls we opened.
The bigger trade is to set up the shorts, the calls should go first, then we should set up new and fill out existing short positions.
Here are the charts and as I said earlier and always say,
The market's are Fractal in Nature, that which you see on a 5-day chart you'll see on a 5 min chart and they'll act the same because of human nature/emotion.
Check it out...
So far the DIA 1 min is the only intraday chart starting to lag and go a bit negative, it may be because of the gap coming up, but this has not effected some longer intraday timeframes so I expect the DIa will keep moving, but it was not one of my favorites for a trade like this.
IWM 2 min is leading positive so it should have more to go and it's not seeing any short term problems yet.
IWM 1 min showing no short term distribution yet, which tells me they intend to take this higher before distributing.
QQQ 5 min positive at both "W" bases , this is the fractal nature, a larger 5 min "W" pattern as a base...
And intraday the QQQ 1 min showing the same "W" base today alone as a bottom for today's intraday lows and where accumulation for this move was finished off.
That's the fractal nature of the market.
SPY is in line/positive thus far, but coming up on resistance at yesterday's close.
So far so good.
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