My logic for constructing the chart was based upon the assumption that IWM would lead SPY up and down. However I found that that is is currently not the case. IWM is under performing SPY at intermediate swing tops and bottoms. Consequently it has value as a divergent leading indicator only at market tops given that IWM has a higher beta than SPY. Conversely my divergence indicator indicator will check for divergence of the defined input series against price. In this case I have defined SPY as the input series (given it outperforms bullish) against the price of IWM. Therefore only the buy signals and not the sell signals you see on the SPY are valid. If there is anything specifically on the chart that you would like explained just ask.
News 
Market Data 
Discover 
