Daily Index Cycle update

US equities ended the week on a moderately positive note, sp +16pts @ 1982. The two leaders - Trans/R2K, settled higher by 1.2% and 0.8%. Near term outlook is for renewed downside to the 1950/40s.


sp'daily5

R2K

Trans

Summary

So.. the bulls managed some gains to end the week, but still, a bounce of some degree was expected after the rather strong Thursday decline.

With the multiple technical breaks on Thursday, I am seeing the Friday bounce as just that... a bounce. The VIX looks headed for at least a test of the important weekly 10MA - which is currently in the mid 17s. That should equate to the sp'1950/40s.
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*I am short the indexes, and holding across the weekend.. seeking an exit in the 1950/40s by midweek.
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Closing update from Riley



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a little more later...