maybe is unimportant but I wouldn't overlook it

OK, finally path #2 is playing out: ESH0 rallied from yesterday values directly towards 115x (1153.50 as I write this). I expect even 1157 values.
What is the meaning?: obviously bulls are loving this market and they believe it cannot stop, 1190 almost assured in some trader's opinion. So hesitant opinions like mine are just a joke for them. In any case this is my interpretation:

They successfully crossed the line and reverted 1086 major break down into a bullish setup through an historical rally .... hands down guys, money-printing-machine Team won! BUT
There are no a free lunchs, the ST correction will be fierce, even if it continues to go up after it.

Ok, who cares about my opinion anyway.... but you may care about this data from the Big-Boys' option plays..... pull out your own conclusions about their ST expected move.....




The Artisan of this spectacular rally (which can only mean economy is alive and kicking again :( ) at work:


this pic is borrowed from:

http://www.zerohedge.com/article/perpetual-motion-machine-drives-forward-unabated

It WAS not the same

As we were pointing up yesterday, damaged structure and market internals were shouting what price was denying. Unfortunately many inverstors only look to price and media, otherwise one can't understand how so many people went long yesterday (Equities P/C ratio reached 0,53 today).

Source: CBOE



Te results are evident and the ES updated chart leaves no doubts. It finally got the 1028 target we defined. So profit taking from shorts is expectable in the VST. Will post later the expected moves for tomorrow.





As usual we look for confirmations on different markets since this adds support when coordinated moves happen:

Very interesting moves at bonds marketes, specially on High Yields. They went straight down indicating risk aversion among investors.

HYG bigger picture:



HYG close up:




JNK

First post - some chart reviews

Some indications I am picking up here and there towars bulding a short position.

When analyzing NYSE data more relative strenght can be found but a brief look to Nasdaq and some internals reveal the rally is weakening and leaving an open door to a meaningful correction.

Nasdaq 100
My favorite index to watch when looking for trend reversals.



Market internals as of 07-30
Some divergences could be found that favor the ending of this rally









Oil- I used a oil-gold ratio chart to disect inflation factors. Though is not terminant, bearish signs are arising



A quick look at EU indices
FTSE 100



P/C ratios:
Extreme equities traders bullish sentiment like current has been faded by the market short after.