Chop Continues

Wide market chop was the forward looking forecast or highest probabilities which is actually one of the most difficult calls to make because it's not a clear trend, but when using multiple timeframes, we can get pretty close.

 I said that these kind of choppy zones remind me of a child's scribble with a crayon, sort of like what we see above on the SPY 15 min line chart.

The EUR/JPY was the scam of the day overnight as the Yen was smashed lower on no news whatsoever, sending the Nikkei 225 up 1% in about a minute. More importantly, it lifted all of the JPY crosses and all important EUR/JPY cross for the market.

We do have a negative divegrence in the EUR/JPY pair right now.

I showed you earlier how the headline news regarding "What the ECB was likely to do tomorrow" sent the Euro higher and thus the EUR/JPY and futures with it.

This is the EUR/JPY (candlesticks) vs SPX futures (ES) in purple, I showed you this earlier and how ES fell off and refused to hold the gains with the carry cross.

I'll have more as soon as I get to get together some charts, but I think we did get good information today regarding "How" the market reacted to such a ridiculous manipulation. 

The Dow had the best gain, if you look at a daily chart of the Dow, can you guess why? The Dow is the only average that hasn't cleared a very obvious range.

I think we'll have some good directional movement and the Leading Indicators to make the multiple timeframe analysis easier to understand.

MCP is also looking like an awesome long, it's just a matter of a little timing, but I'm glad to have opened a partial position yesterday.

Thanks again today for all the thoughtful emails, I'm still at the hospital waiting to hear from the doctor, the surgery seems a little longer than anticipated.