Stock Indices Diverge

There was a huge divergence in price development between the stock indices today. The QQQ was down. The SPY was basically flat. The DIA was up significantly. Along with this divergence, volume was extremely low and market breadth is declining. Equality was reached in the SPY but not the QQQ. While it is not necessary to reach equality, the Indices appear to be completing a countertrend rotation up. Unless there is new information that changes the perception of value, use caution on long positions.

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