SPY Wedgie Update

Decided to clean up the chart a bit so that you can see it bounced off the bottom line earlier...

Still some dip buyers in the market, but looks pretty bearish (short term) right now. You know how this works, they'll probably finish the day on the line so that they can decide direction with futures off hours.

I'm not shorting the index but wanted to signal my bearishness. Market is coming off an overbought condition with MFI divergence.

Comment:

Finished the day on the line as predicted. No futures pumping at the end of day, predicting a gap down tomorrow on open, not sure how big though.

The market like to backtest wedgies, keep that in mind for later this week.

Comment:

Futures now testing intraday support a today's lows.

Comment:

Futures red across the globe except the US of course. SPX futures up 2 pts, computer algos still trying to pump and dump, lol.

Comment:

So the wedgie broke, but there's a chance that the market does a back test of the line before it heads down. So I have no idea which way it's headed tomorrow, I think it depends highly on IBM and NFLX earnings AMC.

Comment:

NFLX missed on subscriber adds, IBM flat after beating on profits but missing on revenue.

Would appear that the market will continue down.