The 20DMF was negative during the whole day, except for a last 30 minutes bounce, indicating expectations that a bounce might be in the cards for today.
The NQ8 still looked strong -- at least stronger than the NQ100 Money Flow.
Note that the small caps also experienced a last 30 minutes Money Flow bounce.
The NQ Futures still look strong, although the S&P500 Futures look rather negative.
We can see that the Russell 2000 Futures continue to display a bearish triangle pattern: consecutive lower lows with a strong flat resistance level.
The IWM/SPY ratio indicates that now is the time to turn long on the small caps. I did not buy the small caps yesterday but closed 25% of my puts.
On the ETFs front, yesterday's pattern did not evolve: negative for the QQQ and still good for SPY.
Interesting to see that investors are buying neither the gold nor the Euro bounces of yesterday.
The Yen and the 10 Year Treasuries continue to display conflicting EV patterns: the yen is bought while Treasuries are sold. Of course, if the sellers of Treasuries are Japanese who then convert the proceeds into Yen, then this makes sense.
Conclusions:
Weakness is mostly in the small caps, which I believe are in great danger of breaking below support. However, the recent past has shown that shorting weakness was a recipe for losses. The best is to short small caps in strength.
I believe that weakness could still spread this week on the S&P500. Yen buying and weak futures point into that direction.
