When I first started doing MACD charts in Metastock on an Apple 2e computer in 1982, I thought that negative divergences between oscillating indicators and the market averages were the be-all, and end-all in TA.
Truth is, they’re meaningless. We have another one this morning on the hourly chart of the ES fucutures. Like all the others I have seen for the past 39 years, this one could lead to a rollover, or it could lead to reacceleration to the upside. Take your pick. I will take door number two, just because the Fed and Treasury continue to pump godawful amounts of money into the market every day.
That would mean we’re headed for a mini breakout to 4185. And if they clear that, a trip to revisit the highs of last week.
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Treasury Adds to Fed QE to Create Bullish Cash Tsunami
LEE ADLER
