Stocks Confirming Sell Signal

Stocks Confirming Sell Signal;
Set Stage for August Swoon.
Overall Drop into Sept. Likely!


08/05/17 Weekly Re-Lay:

Stock Indices are giving the first signs of vulnerability after fulfilling multiple upside objectives at 21,616–22,030/DJIA & 2465–2531/ SPX (shortly after the NQ did the same thing).  Those 1–2 year targets combined with weekly extreme upside objectives (LHR) to produce the optimum price range for peaks.

The ESU reached a convergence of weekly LHRs (around 2474.0/ESU) in late-July, while the DJIA just spiked up to a related convergence at 21,927–22,057/DJIA.

From a cycle perspective, the ESU & NQU peaked on July 24–28th – allowing for a 50% correction (in time) into the Sept. 2017 cycle low (14 weeks up/7 weeks down) – the time when a 5-month low-low cycle recurs.

The Russell 2000 also remains in focus after dropping ~4% since July 25th. and closing back below the levels of its early-March peak.  This took hold immediately after it perpetuated a 6-week/40–44 day high-high-high-high Cycle Progression.  That cycle also projects a drop into early-Sept.

The Russell 2K has gained very little ground in the past 8 months.  It peaked in Dec. ’16 at 1392 and again in Jan. ’17 at 1388.  This past week’s low approached those highs (resistance turned into support), which could provide a pivotal level in the coming week.  A weekly close below 1388 would neutralize the intra-year uptrend.

The DJTA remains negative but still needs a weekly close below 9147 to reverse its weekly trend down and confirm a 1–3 month peak.  (A more convincing sign of a multi-month top would be a weekly close below 8980/DJTA – turning the intra-year trend down.)…

1–4 week traders can be selling Sept. e-mini SP futures at [reserved for subscribers only; FUTURES & EQUITY TRADING INVOLVES SUBSTANTIAL RISK]”


Stock Indices reinforcing sell signals & showing additional signs of weakness after fulfilling multi-year upside price targets (at 21,616–22,030/DJIA & 2465–2531/SPX) & the primary wave objectives for completion of 2009–2017 bull market.  These CRITICAL targets were met as cycles turned bearish, in perfect sync with the arrival of the Decennial Danger Period!  Selling could accelerate as August unfolds.

Russell 2000 is leading latest decline & could confirm multi-month peak soon.  See Weekly Re-Lay & INSIIDE Track for additional details.