Stocks Fulfill Late-June Cycle Low
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/DJIA, 4167/ 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.]