Monday, November 10, 2014

USD/JPY Fires, Losing Momentum Already

The only major change in Index futures from the open was the directionality of the $USD, which led to $USD/JPY strength which the market followed with the weak VIX being monkey hammered already.

However, it looks like there's already a problem...
 USD/JPY is already going negative and consolidating, losing upward momentum.

Apparently there's some problems in the Yen as well that seem to be contributing to the USD/JPY Stall...

 intraday Yen futures (/6J) with a leading positive position in to the Yen dump, interestingly as the VIX was hammered lower...

IWM intraday is already showing a negative divegrence as are..

The Q's

Intraday breadth has fallen off as well at the stall in USD/JPY.

VXX is seeing the first intraday signs of positive activity in to the monkey-hammered lows and...

HYG is seeing a negative divegrence in to it's support at "in line"

You might have guessed...

 TLT is also seemingly accumulating early weakness and of course the larger TLT chart...

Has a large positive divergence just as 30 year Treasury futures, Yields move opposite Treasuries/TLT and Yields pull stock prices toward them, a negative for the market.

With TLT, HYG and VIX involved, I suspected the lever/market manipulating SPY Arbitrage which uses TLT, HYG and VXX and this is what I found....

After the dull start, the SPY Arbitrage was activated, although it doesn't seem to have much in the way of legs under it.

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