SMT divergence
Smart Money
Correlated markets disagreeing
When SPY makes a new low but QQQ refuses to, that crack between correlated markets is SMT divergence. One index's failure exposes the other's move as a likely sweep, not strength.
Check yourself
SPY sweeps its low; QQQ holds well above its own. Read:
- Both crashing
- Divergence: the sweep lacks broad participation, reversal odds up correct
- Data error
Real moves take correlated markets WITH them. A lonely new low is usually a raid, not a trend.
Learn this properly
This term has a full interactive lesson in Wick — the chart, the pattern to tap, and a live practice terminal to try it on. Free to start.
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