A Few Salient Charts

I had a sudden TOS chart meltdown today and am still in the midst of recovering my studies and all my pertinent charts. Very very annoying and quite frankly I have to mince my words here as I’m pretty upset. In any case, emotions are for losers – let’s try to stay productive, shall we. I promised you guys a post after the bell today but since I’ll be spending the rest of my night rebuilding my setup I hope you don’t mind if I focus on only a few salient charts and then call it a day:

The spoos continue to battle with various Net-Lines and thus far have not mustered up the strength to push through. Yesterday’s low volume holiday session got us touching that NLBL and not being able to conquer it on a slow day was bad enough. Today we find ourselves back below the prior NLSL and that shows weakness. Fortunately for the bulls this one expires today and but of course that NLBL is hovering four handles higher.

I am not going to over think this – right now I’m short with a stop above that NLBL. If we breach it then I’ll flip for a long until then I do nothing and wait for things to unfold.

EUR/USD retesting its 100-day SMA. Good short spot here until we breach through. If you ask me the odds are 50/50 here – I will remain short until we hop above the Maginot Line. The plan here is to also flip it for a long position if we push above as it’s been a long time since we traded above that SMA. I think both the spoos and the EUR/USD are looking at an inflection point here.

I was looking at my A/D ratio chart today and noticed the lack of juice that has accompanied the recent push higher into 1420. If you compare those daily readings with the past year then it’s more reminiscent of what we saw during corrections. As you know I’m not very excited about the upside in equities right now and this is definitely not helping to convince me otherwise.

Final one for tonight – AUD/JPY vs. the spoos (S&P E-Mini): quite a divergence there wouldn’t you say? This has in the past heralded corrections but I’m cautious about calling tops. Let’s just say that my inventory of non-bullish charts is expanding by the day.

Hope to be back to normal tomorrow – again apologies for the delayed post.

Cheers,