Saturday, 3 August 2013

Daily Index Cycle update

The main indexes closed moderately mixed, with the sp +2.8pts @ 1709.67  - a new historic high. The R2K was flat, whilst the old leader - Transports, slipped around 0.3%, but still closed in the mid 6600s - the highest ever weekly close.





So...the sixth week higher for the US indexes, and the sp'1560 low of June'24 is now 149pts  lower. Despite seeing some incredible ramp-waves across the four years, this latest one is still one to wonder at.

However, despite the latest weekly gain, I am indeed holding to my outlook that the market is about to peak, before a multi-week down cycle into September - back <sp'1600.

Next week, we should see some rather clear divergences start to appear, and the bears will have an opportunity to put in a daily reversal candle - which would make a top a lot more decisive - just as the May'22nd peak did.

a little more later...