Tuesday, April 28, 2015

Weaker Than it Looks...04.28.15

We're inching towards the end of the month bull pop but the market's are still in overbought territory and the lukewarm reception to APPLE's whoopee earnings report should serve as a cautionary note.
A check of today's SPY chart shows SPY never got any traction above the pivot and in fact swooned down to S2 within 30 minutes of the open.  As a aside...if you don't believe in the price magnetism of the pivot points...today's price swings should make you reconsider. (the solid yellow line is yesterday's close).
The continued divergence of the ADX and the Ergodic indicator are a further sign that there is no trend in effect right now, just a lot of HFT skimming.
Tomorrow's a FED day...typically bullish and volatile... but the current mixed signals on LM and M3 suggest that not all stars are aligned in the bulls camp at present.