Thursday, August 8, 2013

Market Update

Here's what was bothering me and still is, but I think it's fine. We went from no pullback signal at all, to a pullback signal that is getting a little too strong without any downside action and it feels like a spring coiling up to pop to the downside.

These signals are almost exclusively confined to the 1 and 2 min charts so that's intraday and I am looking for an intraday pullback, the other charts are fine, HYG is fine, I just opened a lot of positions yesterday, it's a lot of exposure and they all have profits, I might as well take those profits in the areas I'm concerned about and if/when we get a pullback with good signals, I have my tickers ready to re-enter at a moments notice and maybe I'll get lucky and make the same gain again.

There's really nothing wrong beyond this and this is probably being overcautious, but in taking those actions I had nothing to lose, I had profits, I reduced heavy short term long exposure and left lots of room to add positions at better prices, if the market takes off to the upside, I still have exposure and this is just hitch-hiking for some extra gains any way.

 DIA 1 min is leading negative pretty extreme with little downside price movement.

The IWM negative stretches out to the 3 min chart, there's no reason to leave those gains exposed with even a little uncertainty.

QQQ 2 min, before we didn't even have a hint of a negative divergence/pullback on even the fastest 1 min charts, now...

 The SPY 1 min is pretty clear.

ES as well so the SPX futures are seeing the same

NASDAQ 100 futures (1 min) .... the same

R2K 1 min futures the same.

The 15 min HYG chart is looking  VERY good and most of the above charts in their 3-5 min timeframes still look great so I'm sure it's nothing, but tactically or even strategically, I had nothing to lose.

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