Stocks Reinforce Sell Signal

Stocks Reinforce Sell Signal;
Aug. 15–22nd = Danger Period!
Overall Drop into Sept. Expected.


08/12/17 Weekly Re-Lay:

“Stock Indices are showing signs of weakness and did see an initial sell-off into August 10/11th.  The coming days are the most vulnerable to a sharp sell-off, with monthly HLS levels even achievable…

Stock Indices reinforced late-July & early-August reversal signals that occurred immediately after fulfilling the upside wave targets for the completion of a 5-wave advance from the 2009 low.  Those objectives overlapped the ideal levels for a 2017 peak.  And on a 1–2 month basis, they were reinforced by multiple weekly LHRs.

The synergy of an 8-year objective, 1–2 year targets, intra-year extremes & projected highs, and weekly extreme upside targets produced a tight range of resistance that is pressuring equities. The ESU & NQU gave outside-week/2 Close Reversals lower as the DJIA & ESU neutralized their weekly uptrends, projecting more downside.

The DJ Transports still need a weekly close below 9147 to reverse the weekly trend down.  The Russell 2K has dropped sharply since July 25th – the latest phase of a 6-week/40–44 day high-high-high-high Cycle Progression.  A drop into Aug. 18–22, the next phase of a 13–14 day high-high-high-high-(low) Cycle Progression, is still likely.

A drop into August 18–22 would perpetuate an ongoing ~30-degree & ~90-degree cycle (Mar. 16 high, Apr. 17 & May 17/18 lows, June 19 & Jly. 21 highs).  The Russell 2000 neutralized its intra-year uptrend while twice neutralizing its weekly uptrend.  That also pinpoints Aug. 18–22nd as the likely time for an initial downside culmination.

1–5 Day Outlook:

The NQU turned its daily trend down and then entered a normal 1–3 day bounce.  It is poised to flatten & turn down its daily 21 MAC in the coming 1–2 days.  The S+P turned its intra-month trend down but needs a daily close below [reserved for subscribers] to turn the daily trend down.

Since March 1st, the S+P has experienced drops of 6, 7, 6-7, 7-8, & 7–8 trading days.  The most common (mean) and the average decline was 10 calendar days.  A similar drop [reserved for subscribers]

1–4 week traders could have sold [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 & the primary wave objectives for completion of the 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 on August 15–22nd!

See Weekly Re-Lay & INSIIDE Track for additional details.