Near Term Trend: Neutral to Negative
Friday’s Close: 2037.41 (- 75.91)
UPDATE: The final word we posted in our last S&P report two weeks ago was, “Bulls be careful”
The reason was simple, as we cited, “The Index traded as high as 2123.00 this past week (highest point since July 2015), but failed yet again to take a run at 2136.00 and settle above that historical high. On the contrary the Index settled 27 points below the weekly high of 2123.00”.
On numerous occasions the Index came close (16 times in 14 months) to breaking to new historical high territory, but failed to do so.
Friday’s price action will make the Bulls extremely skittish and I would expect a downside test of 1960.00.