Opening Indications

I can't say I'm surprised by anything I've seen so far in this morning's charts, I can't even say I'm surprised at some of Wednesday's charts that suggested a move up on Friday, I just didn't feel the wild-card risk was worth it and in fact unless you were really "Jonny-on-the-spot" this morning, for the most part I don't think it was worth it, this includes hindsight as there were simply too many fundamental events between Wednesday's close and Friday's open, that's not an edge, that's gambling.

Here's what we have thus far...

 SPY intraday does show a stronger looking chart on Wednesday's shortened day and ends with a leading positive (intraday) divergence, not the strongest signal, but apparently correct which is probably coincidence, but who knows as some other charts are in line.

This morning's readings are obviously much more negative.

This is the exact same chart as above just with no scribbling on it so you can see it without distraction.

This is the 15 min SPY chart which is in line with expectations from the last post, a distribution area at this short-term top and not surprisingly, this morning's open creates a head fake move in yellow, that is interesting considering trend expectations.

 The 1 min intraday QQQ chart is exactly the same as the SPY 1 min chart as far as Wednesday and today...

It's also the same as far as near term trend expectations with slight distribution in the right timeframe (15 min-the same as ES) and again, a head fake move this morning above the range (in yellow). Remember these head fake moves are typically right before a reversal and we are expecting a downside move from here.

HYG 1 min was positive Wednesday early on and went negative in the afternoon, this would have caused doubt as far as taking a position on Wednesday for Friday's open, but it was exactly correct in predicting HYG's behavior this morning and with Credit leading equities, everything seems to fit together very well.

VXX also fits perfectly with a negative divergence on the 1 min Wednesday suggesting it open lower Friday and the market higher, but the leading positive this morning confirms EVERY chart above and every chart posted so far this morning regarding expectations.

The only wildcard/unknown right now that I'm considering is whether we have an op-ex typical Friday pin or not.

I do think there will likely be some opportunities opening today, VXX looks to me (and this would go for the entire market) that it's reversal process would call for at least 1 more intraday pullback, that may be a good area to initiate or add to a VXX / UVXY long or call and obviously the exact opposite for the market averages.