US equity indexes closed on a weak note, SPX -35pts (0.9%) at 3819. Nasdaq comp’ -0.9%. Dow -0.6%. The Transports settled -0.6%. R2K -0.3%.
sp’daily5
nasdaq comp’
r2k
transports
Summary
SPX: a third day lower, settling -0.9% to 3818. Teal gap… before red gap? Best guess… yes, although its difficult not to see Wednesday open lower, before reversing upward.
NAS: a second day lower, settling -0.9% to 12264. If the 50dma can be cleared, the path will open to 13k
R2K: a third day lower, settling -0.3% to 171.51. I’m inclined to see a push toward green gap.
Trans: a third day lower, settling -0.6% to 13171. I’d note today’s vol’ was distinctly higher.
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VIX’daily
Volatility was itself muted, the VIX settling +4.3% to 27.29. Yesterday’s black candle did (if briefly) play out. Momentum ticked upward, and threatens to turn positive.
VIX bulls should be seeking the 33s.
Equity bulls could be seeking the key 20 threshold in early/mid August, which would arguably equate to the sp’4300s. I accept the latter as currently ‘crazy talk’.
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Looking ahead by 6pm EST