Buzz and Banter
Good morning fellow minyans. Yesterday Toddo pointed out the triple bottom breakdown in the S&P 500 (5-point chart), and I wanted to give you another related chart that I'm following as well. Below is the 10-point chart of the SPX. It gives a slightly more defined picture of the range we've been in since June.
On this chart a tick at 960 breaks a double bottom, and would be a breakdown from the range we've been stuck in. The 5-point chart of the SPX looks, in my humble opinion, like a topping chart more than a consolidation chart, and the breakdown Toddo brought up confirms that. If, and I stress if, the 960 level on the 10-point chart adds further confirmation to that breakdown, then I would imagine some of the more bullish technicians out there may have to reevaluate whether this really is simply a consolidation phase before a potential move higher. We'll see.
As for our other main indicators we still have our long-term and intermediate indicators positive (in Xs), though they've lost some ground over the past few sessions. The short-term indicators remain negative (in Os). The cross-currents are dangerous right now... for both bulls and bears.
Best of luck today and I'll be back with more later as I try to get myself back up to speed after the time off.
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