AAPL being down almost 6.5% today put a lot of pressure on the $COMPQ and $NDX/QQQ’s, but this was also too much for the $SPX. Don’t know when this is going to change, if ever, but until it does then expect more pressure on the above.
60min chart of the Q’s showing that even though it got hammered today it probably didn’t get hammered enough. Q’s are also moving within what for now should be considered a bull flag, but if AAPL doesn’t find buyers soon then it could turn into something more sinister. Should the Q’s drop below the swing low of 64.26, then they could be headed back below 62. To prevent this, the Q’s are going to need to break out of this bull flag pattern pronto.
IMHO, $SPX should have taken back more than 2.23pts today and instead should have recovered all of Monday’s and Tuesday’s losses, like we’ve seen so many times before. There’s always tomorrow but if $SPX does not make a new high soon, then we are probably looking at a change in market dynamics like we saw after the September high.
Stay on your toes and GL.