WLSH & SPX update 10/06/2014: failure to move back inside long term trend channels

While the SPX and DOW did manage to move back inside one or two of their longer term trendlines, the broadest index of the all (WLSH5000 is all stocks, while the DOW is only 30….) failed to do so. IMHO this means trouble is brewing under the surface which the more closely followed indices have so far failed to reflect. This is also obvious for the NYSE, which has also fallen much more recently than the two traders’ delights… So question is if the WLSH is now dealing with a one-kiss-good-bye back test from below, failure and more downside, or not. It tried, thanks to POMO?, but failed. (click pictures to enlarge)

WLSH5 10062014

Tomorrow will be very interesting as the SPX is now also sandwiched between the two longer term trendlines, of which the lower one held the downside in check today, but the upper trendline has failed already… In addition, price has also fallen back below the trendline that has held all upside in check since the Sept 19, 2019, high (19, 19… hmmmm 😉 )

SPX 10062014

 

 

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