Stocks Fulfill Late-June Cycle Low

Stocks Fulfill Late-June Cycle Low;
Early-July Rally Forming?
Reinforces late-2016 Outlook.

06/29/16 Weekly Re-Lay Alert – ‘Late-June Cycle Low’: 

Stock Indices are reinforcing, yet again, that they are stuck in a wide trading range – swinging wildly from one extreme to the other.  After spiking lower on Monday – with some Brexit follow-through – the Indices have rebounded and are attacking weekly resistance levels at mid-week.

Several Indices initially fulfilled expectations for a sharp drop into late-June – with the NQU losing almost 10% from its April peak as the DJ Transports lost nearly 14% in the same period.  The Russell 2000 suffered similar losses as the Nasdaq 100… but in just 3 weeks (since June 8th).

The DJIA, NQU & DJ Transports dropped right to weekly support on June 28th (17,073/DJIA4167/ NQU & 7,036–7,088/DJTA) – with the DJIA & NQU also attacking their ascending weekly 21 Low MACs – setting the stage for a near-term bottom…However, it is times like this when price action is so critical and should be the primary factor in determining swings.  [Stock Indices are fulfilling ongoing analysis to set another important low – after a sharp drop – in late-June.  See related analysis for what this portends for late-2016.]