No I am not talking about the markets, but my home actually... Absolute chaos in here. Still very primitive, and so many things we need to place into the right spots... one room is still with renovations ongoing. Same goes for the kitchen. Furniture is pretty much all confined to the living room and that thing is worse walking around than an elephant at a porcelain shop !!
Well, moving on, I now have internet, may I say super dupper fast internet connection with fiber optic with a symmetric 150Mbps both download and upload... oh yeah.
Meanwhile the markets... although both DJI and S&P have risen to new highs, I see the market very weak. I think we're about to roll over.
While DJI and S&P made new highs, all higher beta indexes failed to do so. I'm talking Russell 2000, Banking Index, Dow Jones Transportation and so on... they are all within the 61.8 Fibonacci expected from a correction.
The european markets are also very weak and failed to make new highs. German DAX fell 10% during last week's decline from the highs to the bottom while S&P declined by 7%. So with this rally the DAX is still 5% away more or less from the highs while the S&P just made a new high today...
This kind of divergence among several markets usually happen at tops, meaning a lot of distribution is being made from strong hands to the weak ones.
It is my opinion we are near to roll over... supporting is once again the USD Index, which made new lows during this past week while the major pairs all failed to make new highs - i.e. EURUSD, GBPUSD, USDCAD (didn't make new lows).
So some pretty nasty broken market internals going on...
Now here's a chart, although I don't trade this time frame, it does indeed look promising, with a sell signal around the 1097 area:
