There it is...

Amazing so far is it not? I'm not talking about anything I said or posted, I'm talking about how predictable technical traders are that I can predict what will happen just by knowing what price pattern is in place and believe me, Wall St. has far better tools, they can see the limit orders (I never put any orders on the books, NEVER! Would you show another player what cards you are holding in a poker game?), the depth of the bid/ask stack, where the best place to take the market to will be based on the order book.

The Twitter Stream updates are all the same, they're shorting and have been all morning.

So this is what we have so far which is good it's happening now because it's plenty early enough for the next stages to have enough time to play out.

 This is the SPY 5 min chart showing each candle that tests the resistance/triangle support with a long upper wick which is a rejection of higher prices, the yellow candle is the first break under morning support and is starting the series of lower highs/lower lows. The break below on volume is good, that's retail going short as they need confirmation, which often has them chasing the market and as tight and volatile as the market is now, you can get chewed to pieces chasing this market.

The 1 min 3C chart, this could be retail, it could be market makers and specialists also working the bid/ask. A 1 min divergence alone is a 50/50 coin toss between a consolidation through time or a consolidation through price- a pullback.
 

When the 2 min chart joins the 1 min, 90% of the time you'll get a pullback, which we are getting.

How long, how deep? I don't know because I don't know the full depth of the bid / ask stack, wherever they can get the most shorts to jump in because those shorts are the primer to fuel the upside move as they get squeezed, their covering will be the upside momentum.
 

The 5 min 3C chart is in perfect shape, no problems right now, no institutional distribution.

I'd guess we can see a couple of different things, a bear flag and another low or a triangle , etc.

As for the reversal process, like yesterday it didn't need to be as long as usual (which would have been 2-3 days because it was only retail doing the selling, smart money didn't have to accumulate.

"If' smart money wanted to accumulate, with the size of the move thus far, I'd say we'd need a rectangle or rounding bottom of about 2.5- 3 hours, but again I doubt they need to do it, I think they'll be more interested in making sure they can unload all short term trades like us and switch over to shorts above the triangle.

TLT, HYG and VXX have very little to do with this, this is mostly retail's doing. The USD/JPY is contributing a bit, it looks like it will help the market make some sort of bear flag or triangle intra day, in fact I see a bear flag right now on the 1 min chart.

Just hang in there, we should see some pressure in 3C, the USD/JPY and/or TLT/VXX/HYG as we get ready to squeeze the shorts, first we need to absorb them.