Current SPX Position: Short at 1659.89
Next Action: Stop at 1641.53
System Score: 3=Bearish=Trend Score + Turn Score=3+0
Proposed New Score: 36%=Bearish=Trend Score + Turn Score=12+24
The Score is bearish and likely to stay that way for the next day unless SPX can approach 1650. There is no buying on weakness for the last few days which is a change in the behavior of recent months. And, a large TRIN spike like we witnessed today typically, but not always, leads to more downside in the coming days albeit typically limited to 1-2%. The uptrend line from the November 2012 low is at 1620ish. The 2012 upper channel line for 1422, 1475 and 1525 was backtested at 1535 and 1560 and will reside at 1540ish in September. There are positive daily and hourly divergences. The wave count for Dow/SPX looks like it could end an EDT at a slight new low tomorrow, but even if that occurs, I can count the possibility for 1 more pop to 1640ish and drop to 1620-1625. Good fortune.
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