Those interested in the possible HnS set-up on SPX need to see this. Pink lines are measured fall. red dashed diagonal is another possible neckline that has developed. The other indexes are not playing that game right now. Other interesting points are RUT and TRAN are still just above the 200ma. INDU is only index to set lower low. Not much consistency across indexes except all are falling.
Most disturbing is this dislocation of indexes. this is rare. Sometimes one will breal out (Financials or RUT), but this disparity is astounding. bottom line is they all will come back together. Question is on what side of the chart? TRAN and RUT bucking the trend here for sure.
Minis all over the place since they opened last night. Fell right to the support diagonal this AM If the minis get under 78 there could be trouble. Gobs of POMO this week. Markets here not respecting the reality that is the EU. Hell, the EU is not respecting their own reality. It all spirals out of control sooner than later now. The fuse that was lit years ago is finally nearing it's objective. Desperation moves are beginning to show up. Only a matter of time before the first national default.
Daily 50ma at 76 and lower BB at 70 would be main support targets here. Below that are the two 38% retracements at 55 and 44, the 200dma at 32, then the 30 support level. RSI 5 and 14 struggling with 50 levels but from different directions.
I don't know of anything that should raise the markets significantly at this time other than POMO, and apparently those funds have been diverted to other needy areas.
