S&P500: Wait-and-see mode, but looking bearish
|S&P 500 20/03/17
We are below 2374....but again.. as I always say...we need to wait and see what the cash guys do....If they can stay below here the sellers will once more be back in control and they will be looking to take us lower to the 2361/55 area again....Now the weekly charts have turned negative...so this needs to be kept in mind...The other thing to note is that on the move up Wednesday night we never broke the old highs...so that in itself is a negative...If we start to turn down on the dailies this will re-enforce the negative impact we should see....It is a bit worrying when you think that we have to clear 2405 and hold above it to take off this downside pressure we now see evident...Also if we fail to hold over 2352 it will have more bearish bias to 2336....
The DJI isn't looking so great either...The key level on that is 20825..we lose that ...especially on a close basis and we are going quite a bit lower with 20611 then targeted...we really need to clear 20985 to make this look a little stronger and challenge the 21169 highs... The daily charts look positive from the stochastic. But weeklies negative...and the price isn't really reflecting the stochastic...so we go with the price...
Nas is another strange one...we are still towards the highs....but the price is diverging...and therefore it is worrying me....We could have a small Double Top on the daily charts....only a very small one...but like anything....the weekly charts have been seriously overbought all year and we have to really do something soon to take out 5430 because if we fail we are going to see 5360 first with more potential for 5295...So we really are at quite critical levels in the US markets...and they need to move to the upside...and fast....to take off this imminent downside pressure...
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