00A DIA One-minute
7/31 -- Waning momentum finally hit the tipping point and a hefty round of selling ensued. The good news is that it had a capitulative tone to it and did stop at support lines on a number of long term charts. The bad news is that VIX spiked over 17 and remained there, short term and one-minute trends are down, and momentum has now clearly rolled over to the downside.
The jitters that everyone feels about meager growth, the QE wind-down, and a looming interest rate rise are universal and it was no surprise that some profit-taking was in order. A bounce may well occur, but the problem is that every one of a million portfolio managers is thinking the same thing and even a slight reduction in the equity allocation by that many people becomes self-perpetuating and can cause a significant ripple in the trends.
One notable uptick today: UNG broke upward on the short term chart with momentum now turning up and may thus have bottomed for now.
7/30 pm -- A bounce began today on the positive GDP number but faded, leaving the four major averages still near their lower channel lines on the one-minute charts. That leaves DIA in its downtrend and IWM in its horizontal one.
The market is losing momentum. Short term (30-minute) uptrends are breaking on DIA and SPY and stochastics indicators on the long term charts have turned downward. VIX is not retreating. An early Fall may be upon us.
7/30 am -- GDP good but inflation bad. The one-minute charts are falling to support this morning, VIX is rising, and DIA has actually now broken its short term uptrend on the 30-minute charts. Watch closely for breaks -- this market is very skittish.
7/27 -- The morning sell-off served as follow-through from Friday, taking DIA down to its support line on the one-minute charts. SPY and QQQ stopped a bit short of support, but IWM went through support to double bottom at last week's low. Then all bounced. The bounce broke out of all four red minichannels on the one-minute charts,so the market looks to be regaining its footing, t
00B SPY 1-minute
00C IWM - 1 min
00C QQQ - 1 min
00D Volatility Index 1-min
01A DIA - 30 min
01B - DIA one-year
02A SPY - 30-min
02B SPY - Daily one-year
03A QQQ - 30 min