Quick intraday update

The market showed some extreme resiliency on very short term 3C charts, but I haven't trusted it...not yet anyway. As I was sating earlier this morning, there needs to be a reversal process, not en event and that takes a little time...

 SPY 1 min intraday saw rapid improvement.

I still think the IWM has the best looking underlying trade right now with QQQ a close second. However this early progress was too quick, too early and I wouldn't trust it.

 The 3 min SPY chart still looks like this.. In my mind, this should be repaired and positive before even considering an SPY long bounce trade. The white trend line represents the gap fill we were talking about yesterday as a target on the downside which was hit this morning as stocks catch down to bonds.

I still like the TLT/long Treasury swing /short squeeze trade, I may like it more than any of the possible equity trades that may come up. Looking at some core shorts, it's very hard to get behind any long trade right now so they'll need to prove themselves  even for a short term trade. For this reason alone I didn't trust the early improvement that looked quite extreme on 1 min charts.

 This shows what has happened since, QQQ 1 min is leading negative intraday so price should come back down and hopefully it will build out laterally and we'll see some better divergences for short term trades.

The QQQ 10 min chart marks about the size of the base that we can bounce from (from last week's "Week Ahead" post on Friday). However there's still work to be done and I'd rather sit on the sidelines than to enter a sub-par position.

I do believe we'll have opportunities for both short term bounce positions, they may or may not be in the averages and the downside divergences are just monstrous. I was looking at Financials and considering whether I might close a core short position to do some shorter term trading and just could not even bring myself to consider it.

So there's 2 or 3 probable trends all developing at once, each more probable than the next, but all probable. I'll continue to update the proper made and hopefully have a Treasury post out soon.