15 Jun 2015 - ES Lwr Lw.. SPX Not So..

The ES seems to have put in a Lower Low in price, but the SPX has not followed with that sentiment.  This divergence needs to be studied more with the ES and Dow coming in as the weaker duo compared to the general market.  Of course one day alone cannot tell the whole story of this interconnected market.

On a longer-term, the market is showing weakness, and a turn around here is needed by the bulls to give themselves some breathing room.  If we close out this week with Lower Lows or at current levels, then a big problem is at hand.  It is interesting how the indicators fits in with the Fed speak and Greek problems this week, since both geopolitics and indicators are at a crossroads.

The EW is still not clear with volatility messing up proportions and creating open gaps.  But the bottom counts are the best I can muster for now.

MT: DOWN
ST: DOWN
PA: NA

 

Note:  The comment I have made about the market being on a crossroad should not be taken lightly.  There are evidence in my study / analysis that shows signals resetting for a move higher if prices do not make an urgent price drop.  The fact that indicators are at their March low comparative without price nowhere near 2040 SPX tells me that support is strong even in the 4 month sideways pattern.

 

 

RESET?