Since the averages and industry groups have either come off their intraday highs or have pulled back to their intraday lows, there have been some sharp signals that I would expect to see such as...
SPXU, 3x short SPX 10 min leading negative divergence...
There are a lot of these scattered charts, but at a solid base, there's a lot of consistiency through multiple timeframes and multiple assets, that's what I'm missing at the moment, not to say it won't develop or won't do so quickly.
Index futures look pretty darn good, it's hard to stay patient with them looking as they do, but I know what a strong base that's ready to reverse should look like and this is not there yet.
On a side note, QE 4 was mentioned today by the F_E_D's president of the San Francisco F_E_D, more in terms of, "I could see additional QE if...", but normally any talk of additional QE would send the market in to a rampfest, this didn't do much and I think the pros know it's hot air, it's the old Draghi trick. The F_E_D has a problem or concern with a strong $USD, even though I believe the 12 week gain is breaking up, QE does one thing and that's knock the dollar down, Draghi is famous for putting stuff like this out to move the Euro and I suspect this was jawboning to talk the $USD down, but retail would usually latch on to that and run.
For the time, I think we just keep staying patient and letting the market sort itself out, I still think it ends with a nice upside move followed by a new low, but until we have a sharp edge, I am not ready to gamble on probabilities, I want strong evidence , especially to trade against the prevailing trend/sentiment.
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