3 replies to this topic

[4caster]

I find it rather interesting to see the divergence that's going on between the SPX & the BPSPX.

Since Aug. 18th the SPX has been working its way higher while the BPSPX has continued to

decline as its been doing since July 27th and was even down yesterday in a strong up day.

The question becomes, how will this divergence work itself out? Will the SPX decline to get

in sync with the BPSPX or will the BPSPX go up to get in sync with the SPX? I have no clue.

This one of the reasons why I'm glad I'm a day trader and don't carry trades overnight.

[q4wer]

interesting observation.   I suspect that next week,  a pop first and then drop into the week.

[4caster]

Thanks

[4caster]

We now know the answer.The BPSPX and other internals are going up to get in sync with the SPX.

Taking into consideration the fact that the MACD(12,26,9) on the daily SPX chart is about where it

was at the bottom in mid-March and today is putting in a crossover to the upside the SPX could possibly

put in quite a move to the upside over the narr term.