This is a highly irregular event with the NASDAQ down after earlier problems with BATS/NYSE Arca.
Taking out my tin foil hat, if I'm the F_E_D and I know that the amount of leverage/Margin in the market and the HFT structure as well as rebalancing of ETFs in a decline that the F_E_D just released a 40 page paper on as they see it could accentuate a crash, I might look for a scapegoat to point to so the whole world doesn't say, "Ben did it" and there's no way to panic a trader more than not let him/her see their positions or be able to exit them, that can cause mass panic alone.
There's also been a strange number of $ weighted VIX PUT / Call ratios with calls way overloading VIX puts.
That's all the speculation for now.
The charts I was going to post in reference to that triangle breaking...
The break of the bullish triangle that really wasn't...
At the same time the SPY 10 min chart is even more positive
As is the SPY 15 m
The IWM 15 mim finally goes leading positive.
ES 15 minis even stronger in a leading positive divergence
ES 60 min is literally OFF THE CHART
NQ 15 min is positive
NQ 30 is leading higher
TF60 is leading even higher.
Almost all of the averages and Index Futures have stronger positive divergences since yesterday, that would make any head fake or break lower, highly suspect and a likely head fake as that is the fastest way to pick up a large number of shares without anyone asking questions.
In fact, perhaps a NASDAQ mini panic will do NASDAQ accumulation some good?
Either way, this event is EXTREMELY rare.
Is interest rates about to start going up?
-
Yes, I know - it does not make any sense - FED is about to cut
rates...but....real world interest rates are not always what FED wants it
to be.
5 years ago
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