Pre-Market

Last night the Nikkei started off well and ended "fairly well", considering volatility, up +1.7%. Directionally there was movement with the USD/JPY and it must have had some influence, to what degree is something I'll be looking at closer, it doesn't look like a very high degree just eyeballing it.


The overnight Chinese liquidity situation (SHIBOR rate)  among their banks was better,  the rumor is it was not a PBoC cash injection, but a targeted bailout of 1 (and probably more than 1) bank with 50 billion CNY which China of course denies.

Greece is about to enter the third ring of hell, but I think I'll save that for this weekend.

I think probably the most immediately significant event for today will likely be the typical Friday op-ex peg, if so that may explain why Equity Indices backed off a bit after the European open, (assuming to target the max pain pin).

Other than very strong 3C signals last night, this is what ES looks like now.

 The earlier overnight session, right after Europe opened an intraday negative divergence took ES lower.

Here you can see that more completely.

Currently ES is in line, no divergences at this time.

The first hour or so of a.m. trade is usually not the best for gathering data, after that we should find useful information.

Typically most options are closed by 2-2:30 and the market starts to show its personality.