Today is hammering home more of the same – without a US Dollar breaking down, US equities cannot breakout.
The US$ Index is +0.81% today and the SP500 is down -2.9%. Importantly, the market backed off a significant immediate term “Trade” momentum line at 873, and backed off hard.
The chart below paints the lines that I think matter. There is a green dotted line of immediate term support for the SP500 at 840.11, but if that breaks, and the US$ continues to strengthen, watch-out below – 804 is the only line of support from there.
KM
Keith R. McCullough
CEO / Chief Investment Officer
The US$ Index is +0.81% today and the SP500 is down -2.9%. Importantly, the market backed off a significant immediate term “Trade” momentum line at 873, and backed off hard.
The chart below paints the lines that I think matter. There is a green dotted line of immediate term support for the SP500 at 840.11, but if that breaks, and the US$ continues to strengthen, watch-out below – 804 is the only line of support from there.
KM
Keith R. McCullough
CEO / Chief Investment Officer
