Last week I posted that the Russell 2000 was foretelling of an upcoming bear move. Generally small caps lead the way. After a bounce Friday to the 50/10 LRCs and giving the 25/5s time to cross below the 50/10s, the market is now resumed its down move. There was a bounce this morning but it was stopped at all the various resistance points. A great shorting opportunity.
The Russell, which gave the first indication of a market trend change, looks like next support is in the 868, and if it breaks that it could drop another 5% at least.
Nasdaq 100 has broken out of its trading range, breaking below 2700, next stop 2600 and then the big H&S neckline at 2530… that is a key area to watch.