1/13 commentary: Update by thechartpatterntrader.com Maurice N. Walker Excellent detailed charts and extensive commentary update.
Class A and B divergences to the Rescue on the 15 minute charts
The class C divergences that formed yesterday on the 15 minute charts played out today. Allowing the bullish falling wedges in that time frame to breakout. Prices rallied and then got a throw back to yesterday's momentum lows. That formed somedouble bottom patterns on the 15 minute charts. This allowed the QQQQ 15 minute chart to get brand new class B divergence. Class C is the weakest divergnce there is, while class B is the second strongest divergence. The S&P 500 got a class A divergence because it made a lower low during it's second bottom on the 15 minute chart.
The MACD on the S&P's 500 hourly chart got a bullish cross today, while the Qs is a hairline away from getting a bullish touch.
The secondary trendlines continue to maintain their authority, without being violated. I believe that the divergence on the 15 minute charts will save this rally as it gasps for last breath. We continue to have higher lows, as the uptrend barely holds on.
But use caution the MACD on the S&P 500 got a bearish cross and the histogram moved below the zero line. The 5 day stochastic on the daily chart is now over sold and I believe we will get a bounce off these oversold levels.
Like the Monkey's sang, I'm a believer. And so is the Aroon, it still is supporting this rally. The 10 day EMA is just one point above the 20 d EMA on the SPX daily chart, so the bulls had better step up to plate quickly. Otherwise those EMAs may experience a bearish cross.
News 
Market Data 
Discover 
AI
