US equity indexes mostly closed significantly lower, SPX -49pts (1.2%) at 4137. Nasdaq comp’ -1.8%. Dow -0.8%. The Transports settled -1.7%. R2K +0.3%
sp’daily5
nasdaq comp’
r2k
transports
Summary
SPX: the 7th day lower of 8, printing 4127, and settling -1.2% to 4137. Momentum is increasingly negative, as all bounces are being restrained.
We have four downside gaps to around psy’4K, as appears realistic as early as Friday. Below 4K… is mostly empty air, with the March low of 3808, and then the 3600s.
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NAS: the 8th day lower of 11, settling -1.8% to 12595. Today’s close under the 200dma merits alarm bells. Next big support… key price threshold of the 11500s.
R2K: printing a new multi-year low of 163.20, if settling +0.3% to 164.15. Today’s candle is black/spiky, and leans s/t bearish. Next support are the 159s.
Trans: the sixth day lower of seven, settling -1.7% to 13654. The April low of 13400 is already near! Secondary… the Dec’2022 low of 11946.
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VIX’daily
Volatility was a little mixed, the VIX printing 21.89, and settling +2.4% to 20.68. Today’s candle is black, but I’m rather dismissive of it. Momentum ticked subtly back upward, and remains marginally positive. In theory, there is a good 2-3 days of upside.
If the VIX can settle the week >23, it would be decisive, and give confidence of psy’30, whether Monday or Halloween.
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Looking ahead by 6pm EST