Daily Index Cycle update

US equity indexes closed broadly higher, sp +16pts @ 2081. The two leaders - Trans/R2K, settled higher by 0.7% and 0.9% respectively. Near term outlook offers renewed downside to the 2040s. A daily close in the 2030/20s will be really difficult, along with a VIX above the key 20 threshold.


sp'daily5

Nasdaq comp'

Summary

sp'500: retracing much of the Thurs/Friday decline, but remaining under the key 10MA (2088). The lower daily bollinger and the 50dma are offering a realistic downside target of 2040 later this week.

Nasdaq comp': a daily gain of 0.9%, but still under the 200dma. The 50dma looks unlikely to cross back over the 200 in the near term. First downside target is the 4600/4500s.

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a little more later...