Stock Indices Pause But Divergences Persist

The Stock Indices attempted to move higher today but then faltered. Intermarket divergences exist and the internals did not strengthen today on the opening move higher. While the S&P and Industrials appear to be stronger, the NASDAQ, Russell, and Transports are showing weakness. The market is neither overbought nor oversold. Therefore, what happens in the first hour of trading tomorrow could give us a greater probability of the next greater degree move.

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