We can see below that the Cumulative Tick was still strong, while the 20DMF displays day trading algos trying to catch the liquidity based intraday push and getting out just before the close.
The NQ8 weakness continued on Friday, even though the NQ100 MF does not look that negative.
The NQ8 Weakness originates from the AAPL selling.
The small caps outperformed, but on a rather weak money flow too. Outperformance is at exuberance levels, probably due to shorts covering in an active options expiration day.
Overnight, the Euro fell on political uncertainty in Germany. I do not believe that this will have long lasting consequences on the Euro. A strong German GDP is much more important in terms of German economic strength.
The US$ seems to be in a range here, while the Yen contçnues to be accumulated.
Both the 20 and the 10 Years Treasuries also look to be under accumulation.
Conclusions:
In the past three days, algos detected a liquidity surge and acted accordingly, pushing markets higher in order to squeeze shorts and book daily trading profits.
The big equities negatives of the current markets are the Yen and Treasuries strength. The positive side is the quiet Thanksgiving week which is usually equities bullish.
