It seems as though the markets are stuck in a permanent wave formation...the action since last Friday has seen resistance hold at the August 5th highs on the YM & ES...the NQ has surpassed that level...while the TF hasn't reached it yet as shown on the 60 min (market hours only) chartgrid below. It looks as though they are awaiting word from the Fed to either confirm the bearish mood that was present during the hours leading up to Standard & Poor's announced U.S. credit rating downgrade, or reverse that mood to spur a buying frenzy.
Note on the following two 60 min comparison charts that the spread between the NDX & RUT is widening...how long will this be sustainable before one or the other reverses sentiment to close the spread?
