Bearish Signs

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The daily equity cycle peaked on day 9 and printed a half day low on day 14. Stocks rallied after the half day low but failed to reagin the upper cycle band.

spx

After being rejected by the upper cycle band stocks continued lower, losing the 50 day MA today. Stocks managed recover a bit today after tagging the daily cycle trend line. However the TSI Bearish Zero Line Crossover signals trouble. At day 22, should stocks lose the daily cycle trend line they could go lower for another 2 to 5 weeks before printing a daily cycle low.

Both the Dow and the Russell have been printing lower highs and lower lows.

rut

dow

The Russell lost the 200 day MA today. The Dow had already lost the 200 Ma and is now close to printing the Death Cross.

ibb

Biotech dropped today, losing over 4%. They also closed below the lower cycle band which indicates an intermediate cycle decline.

nyad

And the Advance/Decline had regained the 200 MA. But is lost it again today.

nyad 1st

The last time the Advance/Decline lost the 200 MA was back in 2011.

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