Not Yet Convinced


Stocks closed once again at new all time highs. The daily equity cycle broke above the previous daily cycle high on Monday, which confirmed the new daily cycle. A new high printed Wednesday, even though stocks closed lower on the day. Today stocks managed to close at a new all time high, but failed to print a new intra day high.

1 spx

There is a lack of clarity regarding the daily equity cycle is on day 10 of a new intermediate cycle or day 10 of the 5th daily cycle of the intermediate cycle.

As we discussed last night, the transports have not confirmed the new highs.

2 Trannies

The transports did recover a bit on Thursday, However, the trannies managed to print a lower low and are still in a technical down trend.


Biotech, one of the leading sectors, also has not confirmed the new highs that printed in the broader market.


And the financials have printed a swing high which was accompanied by a trend line break.

So while stocks closed at new all time highs, the lack of confirmation in these other key areas is concerning.


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