With the fifth consecutive net daily decline, the Dow remains a broken index. With component stocks like AAPL and DIS both seeing huge technical breaks, much lower levels still look due for broader market across the next 2-3 months.
*regardless of whether you agree with the H/S scenario - as seen in chart 1b, the Dow has been broadly stuck since February. New highs (>18351) look difficult for the rest of the year.
Suffice to add, this is the second consecutive week where we have been trading under the old bullish channel.
On any fair basis, the Dow has followed the Transports, and is now well into the process of rolling over. Primary downside target remains the 16500/000 zone.
Thursday will see the usual weekly jobs,
*market will clearly be more focused though, on the monthly jobs data.. due Friday (8.30am).
Goodnight from London