Daily Index Cycle update

US equities saw a latter day recovery after opening sharply lower (sp-22pts), the sp' closed -11pts @ 1782. The two leaders - Trans/R2K, settled lower by -0.2% and -0.7% respectively. There looks to be another opportunity to break <1767 (taper'1 low), next week.


sp'daily5

R2K

Trans

Summary

Perhaps the most important thing to be mindful of right now, are the daily index charts. We have very clear bear flags on most indexes. Baring a break >sp'1820 (even 1800 now looks difficult), the indexes are bearish on a daily and weekly cyclical basis. We even have initial signs of a rollover on the monthly charts.

Anyway, first things first. Equity bears need to see a break of the taper'1 intraday low of 1767. If that is achieved, it will confirm the bear flags, and open downside to 1710/1690..as early as the end of next week - when we have the big monthly jobs report.
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Closing update from Mr TopStep



a little more later...