Wednesday, 18 May 2016

3pm update - moody skies into the close

US equities have seen a very significant reversal, from the earlier high of sp'2060, with a break of core support. With the loss of 2039, the door is wide open to at least the 2000/1990s in the coming days. The H/S formation scenario offers 1970/60s.. as many recognise.




... just look at the big spike on the daily equity candle... that bodes VERY bearish for the next few days.

Notable strength in the USD, +0.5% in the DXY 95s.. and now talk of an attempt to break >100 will grow.

Oil is -1%...  and that is no doubt partly a result of the rallying USD.. on latest rate hike threat.

Whilst the Fed were issuing a threatening press release.. I chose something better...

Somewhat appropriate, moody skies.. to sum up this afternoon's swing lower.

Regardless of the exact close... we have broken support... with the equity bulls seeing yet another bounce fail.

back at the close.