Daily Index Cycle update

The main indexes closed the week on a marginally bearish note, with the Dow -114pts (0.7%), sp -7pts (0.4%) @ 1606. Near term trend is possibly a multi-day bear flag, bears will need confirmation with a daily close next week, with <sp'1590.


sp'daily5

Dow

R2K

Trans

Summary

A bit of a messy day to end the week, and first half of the trading year.

The little sell off in the last few minutes of today is not entirely to be trusted, not least for 'month-end' issues.
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Broadly, all the indexes are offering what might be a 3/4 day bear flag, but we'll need a significantly lower Mon/Tuesday close to have confidence in that scenario.

*I remain heavy short the indexes across the weekend, seeking an exit in the sp'1580/70s by next Wednesday.

a little more later...