US equity indexes mostly closed on a weak note, SPX -40pts (0.6%) at 6632. Nasdaq comp’ -0.9%. Dow -0.25%. The Transports settled +0.1%. R2K -0.3%
sp’daily5
nasdaq comp’
r2k – via proxy IWM
transports
Summary
SPX: the sixth daily decline of seven, printing a new multi-month low of 6623, and settling -0.6% to 6632. Daily momentum ticked lower, and is on the very low side. RSI 33s… not yet oversold
I lean net bullish… at least into the Fed. Basic bounce target is teal gap. I’d note the 50dma at 6884, but that is falling each day.
—
NAS: settling -0.9% to 22105, the first close under the 200dma since last May. Cyclically low… prone to bouncing, and I’d note the 50dma around 23000
R2K: settling -0.3% to 246.57. Today’s candle is bearish engulfing, suggestive that Monday will be red… if briefly/marginally. I lean net bullish, and would note the 50dma in the 260s.
Trans: new cycle low of 17630, if settling +0.1% to 17731. Today’s candle is a doji, reflective of a market that is rather indecisive. I lean s/t bullish, and would note the 50dma in the 18700s.
–
VIX’daily
It was a mixed day for the VIX, a high of 27.76, if cooling back to settle -0.4% to 27.19. Daily momentum is flat lining on the moderately high side.
VIX weekly
A new cycle (cash market) high of 31.84, if cooling back for a net weekly decline of -7.8%. Weekly momentum ticked a little higher, and is on the high side.
If equities can bounce (at least for a few days), I’d look for the VIX to cool back to the key 20 threshold.
–
A little more… by 6pm EDT