‘Proxy’ Stocks Confirming Top

‘Proxy’ Stocks Confirming Top;
Nasdaq Reinforcing Sell Signals…
Danger Period Nearing!

04/27/16 Weekly Re-Lay Alert: ‘Proxies: D. o. A.?’ 

“Stock Indices are turning mixed while showing signs of divergence near their highs.  The Transports retested their March 20 high – on April 20 (30-degree cycle) – but failed to close above that previous high, creating a potential double top exactly 90 degrees from the Jan. 20 low…

However, it is the tech sector that is most intriguing, particularly when measured up against that same time frame (April 19/20) – the Date of Aggression

As discussed last week, the Nasdaq 100 futures showed signs of reversing immediately after their April 19th peak.  On that day, they turned their intra-month trend to neutral (from up) – while completing a daily 2 Close Reversal sell signal.

Along with the FANG stocks (as well as Apple & Starbucks – two proxies I watch closely), the NQM headed lower and began to accelerate this reversal on April 20–22th, neutralizing its daily uptrend and completing a weekly 2 Close Reversallower.  As stated last week, “That is the first topping signal since December.” 

To start the current week, the Nasdaq 100 extended its losses, turning its daily trend, intra-month trend & daily 21 MACdown.  That has also coincided with the completion of an Intra-month Inverted V Reversal lower.

It needs a weekly close below xxxx/NQM  [Reserved for subscribers only] to reinforce those, which would turn the weekly uptrend to neutral.  With weekly HLS levels AND monthly support grouping right around xxxx/NQM  [Reserved for subscribers only], that level could be tested in the next few days.

One of the intriguing aspects of this action is AAPL’s relationship to the Date of Aggression … and late-April time frame.  It often acts as a springboard for AAPL’s movement of the ensuing 6–12 months…

On April 15–19, 2013, AAPL bottomed & began what would ultimately be a ~2-year advance.

On April 14–18, 2014, AAPL bottomed & began what would ultimately be another ~1-year advance.

On April 20, 2015, AAPL began its final spike – peaking less than 10 days later and entering what is now a ~1-year correction.

On April 11–15, 2016, AAPL spiked to a new rebound high and immediately reversed lower and began what is already a 15% sell-off.

On a broader scale, the overall NQ-100 Index peaked on April 19, 2016 – the latest phase of a 19–20 week low-high-high-high-(high) Cycle Progression dating back to the mid-Oct. 2014 spike low – just as it was nearing but not exceeding its weekly 21 High MARC (so that channel continues to descend).”  [Refer to April 27, 2016 Weekly Re-Lay Alert for specific trigger & confirmation levels as well as updates on developing sell signals, leading into the next ‘Danger Period’.]