Daily Index Cycle update

US equity indexes closed significantly lower, sp -26pts @ 1990 (intra low 1979). The two leaders - Trans/R2K, settled lower by -2.0% and -1.5% respectively. Near term outlook is for continued weakness to the gap zone of 1954/51. The bigger weekly/monthly cycles are more suggestive of 1920/00.


sp'daily5

Trans

Summary

*a new multi-year low for the Trans of 7187.
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As for the sp'500, further weakness to the 1960/50s looks a rather straight forward target. Whether the market will see extra weakness to the weekly/monthly lower bollinger - in the 1920/00 zone.. difficult to say.

In any case... mid term outlook is 100% bearish.

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a little more later...