The 20DMF is now closer to its Oversold level. No buy signal was issued yesterday when the 20DMF crossed above -0.75% level, because it first had to reach the -1% level.
The Cumulative Tick was basically flat.
NQ8 stocks displayed a small MF divergence, mainly due to AAPL. This has no predictive value for now.
Small caps barely moved.
This left the IWM/SPY ratio well in the lower section of its envelope.
The energy sector (XLE) continued displaying a positive divergence, but oil pushed down below its average TEV pink level. Hence, the narrative that energy companies would bounce because of oil prices and a reverting market is now questionable.
The only thing that will push XLE higher is a general market on an unexpected Jackson hole announcement.
Conclusions:
Wait and see. I still expect more negativity in the NQ8 before a tentative bounce.
