11am update - minor bounce still due

The main indexes remain weak, and the bulls are really struggling to get a bounce underway. A small jump to the low sp'1560s looks viable into the afternoon, but with daily/weekly momentum increasingly bearish, another weak close is likely. Metals and Oil remain weak.


sp'60min

Summary

A bounce does seem likely, but at most..maybe 0.5%. Overly risky to go long..merely a case of short the bounces..when they occur.

We're another day closer to the debt ceiling being hit..another day closer to the zombie apocalypse?
-

*the momo stocks continue to see significant follow through from yesterday...

NFLX is a typical example...

The 50 day is failing. The real question is whether the 200 day MA is viable in any panic drop.
-

SPECIAL note..

The Dow just broke the Aug' 14760 low..

Dow'weekly

This is the first lower low..in TWO YEARS. The Dow is suggesting the two year rally from Oct'2011..is over.


11.29am The market breaks into the sp'1640s..and VIX 21s.

The Dow remains the leader, warning of major downside viable in the days ahead.

Dow in the 14600s will be decisive enough to open the door to a severe (if brief) drop.