Closing Update

After looking at as much as I can, as things change fast in to the close, I still think that a bounce is a strong probability , but again an oversold bounce, a relief valve which is actually good for the market, otherwise oversold tensions result in massive, surprising moves like big short squeezes. This at least we can see coming and know how we want to deal with it.

I see under-performance on a relative basis in VIX short term futures and spot VIX vs SPX, TLT is in line or better, HYG is in line (price only- not 3C divergences). I see our pro sentiment indicators haven't taken on any additional risk today, but they are still positive from late last week, also indicating a bounce. Yields are in line with price action so they aren't telling us much, I'll look closer at the bonds that drive yields for additional clues.

HY Credit is showing positive divergences, not all of assets in HY Credit I watch, but at least half to 2/3rds so that tells me something near term.

MY SPX:RUT Ratio indicator isn't confirming the downside so it also is pointing toward a bounce.

Index futures are coming around on 1 min charts, but they haven't done much beyond that, 5 min charts are not positive or not enough that I'd even bother to capture them.

The averages have positive divergences in them, all of them have positives that were formed late last week and their 1 min charts (timing) are coming around.

I suspect the breadth/internals will confirm a massively short term oversold market and at least a 1-day oversold bounce.