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Good Morning – RedlionTrader’s First Call
Morning links: Around the Globe
Europe as of 6:13am EDT
Today’s Economic News:
Not much to write home about today, even the green events are neutral. Quote of the Day: Current Breadth Readings: (click here to see all our breadth charts)
We will use our short-term trender today to talk about lack of breadth momentum. Our McClellan Summation chart has been bearish since the last pullback from the last peak. This is warning us of a slow down in the upside accumulation in breadth. In other words, there are fewer an fewer stocks doing the heavy lifting. This can correct on its own, a kind of “rolling” correction, that is what the bulls are counting on, the bears on the other hand, want this to portend an underlying weakness that will soon give way to reality.
ES SP500 Futures Comments:Short: 1568 We are up early this morning and beginning to build that short swing position again and we are currently short around 1554. We have that top capped at 1568, that is 14 above our current entry so again we have to keep our powder dry. This is an early call and as we don’t even have the fat-lady indicator blushing.. she is as green as can be.. see below. We have seen enough intraday weakness creep in on the order-flow that we want to at least get our foot in the door before someone screams fire. Again we might be too early. Our downside first target for the swing is 1532, although we have a special mention for today of 1548, that represents the bottom of that ascending channel. So here batter batter batter.. swinging short.. 1st base equals 1532, 1570 is a strike.. It would be our 2nd.
US Dollar DX Futures Comments:The one that got away. We were waiting for 82.80 to get in the dollar long, never got it, but we like the move.. Our next target up is 83.75 and our longer term target is 86.
TLT Twenty Year Bond ETF Comments:We have roughed out our “best-guess” on the TLT, looking for a rounding bottom in here as evidence of a longer term trend change.
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Breadth Charts In depth:
One day wonders on the Zweig.. this is getting boring, actually it makes for good swings, looking for follow through.
Our CVI looks very similar to the price action, unable to meet the new high.
40 DPI looks the same as the Zweig.. waiting for a decision: 
Crazy strong on the NH/NL:
Continuing with a mixed call on the trenders.. the shorter term one is warning that the trend has already changed, and the longer term just humming along a bullish tune.
