the white line is the S&P 500 futures
the orange line is investment grade credit
the yellow line is high yield credit
the smart money trades credit so we must follow their moves. yesterday (thurs nov 10th) credit ended the day at the lows of the day (spread at highs means price is at lows) yet equities closed strongly.
what this means is that folks involved in credit are not trusting this rally and are taking profits…while equity folks are chasing here. something has to give, even if it's just short-term.