Yesterday's reaction after Yellen's speach was terrible, bringing confusion. Today, the exact opposite. Price rallied, and by the end of the day pros got prices lower. This happens all the time after big events, the first reaction is done by the amateurs, but after the pros come and close the day.
Another false breakout over 16500, another divergence, with the Dow in front of the other indexes. The Russell leads the fall, followed by the Nasdaq. I keep saying this in my posts, because it is a very important warning signal.
The rallies are getting weaker and weaker, shown on the chart using deviations from the moving averages. The lines are still in a divergence, with the histogram losing strength each time price rallies, and a divergence on the .
I am short the Nasdaq, because I figuered a position there will be more profitable than on the Dow, because of the bubble stocks included in the calculation of the Nasdaq.