We can see below that the latest Money Flow push for the NQ8 had barely any influence on the price. This tells us that the NQ8 are overvalued and hence, even large buyers cannot push prices higher: they seem to be facing a valuation wall.
As a consequence, small caps are outperforming now, even close to exuberance.
On the currencies, the Effective Volume continues to display negative Euro/US$ divergences.
Gold is also telling us that the US$ should move higher.
Or gold is moving lower because Treasuries are sold.
I also noted a negative EV divergence in the oil futures. This type of divergence is rare enough to be pointed out.
Conclusions:
Still waiting for the Fed to nicely try not to lead the markets lower, although I expect a sell-the-news type of move.
The US$ should move higher and the small caps lower if interest rates continue to rise, which should be the natural results of a QE unwinding process.
