Daily Index Cycle update

The main indexes battled higher across the day. The sp' closed +0.95% @ 1588, having hit 1593. The transports saw a far more significant 1.9%, with the R2K +1.1%. Near term is broadly weak, and further downside to the 1530s looks likely, if not even 1510/00.


sp'daily5

R2K

Trans

Summary

An interesting day to watch from the sidelines. A day where the market was desperately trying to claw away from the recent low of 1560. We're now 28pts above that, and it would seem the bulls will get at least one opportunity to make a play to break through 1600 early tomorrow.

However, considering the near term trend, renewed underlying weakness looks set to reappear, with significantly lower levels across Thursday and Friday.

*equity bears however will face significant QEs on both Wed/Thursday.
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a little more later...