Bearish divergence ES vs SPY.

[Tape Reader]

Bearish divergence ES vs SPY.

In my experience when the future (ES) diverges with the cash, I’ll call it the SPY in his case; it is a negative/positive sign.

I understand that today was a switch-over contract, (H to M) and that sometimes causes distortion. Nevertheless, there is negative divergence: The future (ES) did not go as high as the (SPY). IMO, this calls for a (short term?) top.

Anyone else have an opinion?

[tanner12oz]

Originally Posted by Tape Reader

Bearish divergence ES vs SPY.

In my experience when the future (ES) diverges with the cash, I’ll call it the SPY in his case; it is a negative/positive sign.

I understand that today was a switch-over contract, (H to M) and that sometimes causes distortion. Nevertheless, there is negative divergence: The future (ES) did not go as high as the (SPY). IMO, this calls for a (short term?) top.

Anyone else have an opinion?

I'm still in so I hate to.say it but market looks like crap to me..vest case scenario is we trade sideways..cant make a case fir going higher

[Tape Reader]

For the chartist, there is also a “rising wedge” on the daily SPY. The rising wedge is considered a bearish chart pattern.

[PICSIX]

I've been bearish for awhile but so have the majority of traders. The DJIA is at a key area for me, if this week's price closes above last week's high I will have to play on the long side with a projected measured move all the way up to 18,330.

However, if this week closes below last week's low I will remain a bear.

[barn32]

Originally Posted by Tape Reader

Bearish divergence ES vs SPY.

In my experience when the future (ES) diverges with the cash, I’ll call it the SPY in his case; it is a negative/positive sign.

I understand that today was a switch-over contract, (H to M) and that sometimes causes distortion. Nevertheless, there is negative divergence: The future (ES) did not go as high as the (SPY). IMO, this calls for a (short term?) top.

Anyone else have an opinion?

Quadruple witching has a lot to do with this. In my opinion there is no "there" there.