There's a bit of unusual softness in the market averages also in the Index futures. HYG is nearly flat on the day, there are some intraday signs of accumulation in VXX as well as weakness in the averages.
While these are intraday charts and I wouldn't draw any conclusions this early in the day, the impression I get so far is that any strength in price is being sold. There's still a base large enough and this morning's damage is small enough to keep an upside bounce moving, but there may be other things in play, such as the Espirito Santo group, things seem to be going from bad to worse there and it's not so much the bank itself that is really concerning even as Portugal's largest bank, it's the amount of contagion caused last week right down to peripheral European nations' bonds.
For now, I'm just taking this as a data point of interest.
DIA 1 min failure to confirm and moving negative
DIA 3 min leading negative is a bit more serious.
IWM 1 min moving leading negative
IWM 3 min chart failure to confirm
QQQ 1 min chart moving negative
QQQ 3 min chart's failure to confirm
SPY intraday 1 min moving negative
SPY 3 min failure to confirm
TICK as mentioned lost its enthusiasm.
My custom TICK indicator shows further deterioration.
And oddly the VIX short term futures have an intraday positive divegrence, I'd expect some intraday pullback, but the question is whether or not something bigger is going on here already?
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