Saturday, 30 April 2016

Daily Index Cycle update

US equity indexes ended the week/month on a broadly weak note, sp -10pts @ 2065 (intra low 2052). The two leaders - Trans/R2K, settled lower by -1.2% and -0.8% respectively. Near term outlook offers the sp'2030/20s, which will likely equate to VIX in the 18/19s.





sp'500: a second consecutive net daily decline, notably breaking below the gap zone of 2065/61. Despite a closing hour ramp, price action/structure is suggestive of lower levels next week.

R2K: a clear break of rising trend/support, having briefly broken the 200dma (1126). Next support is the 1100/1090 zone, where the 50dma is lurking.

Trans: clear break of trend.. and arguable failure of the bull flag. Next support are the 7780-7770s, where the 50/200dmas are.

a little more later...