A perfectly lousy week of trading completes the S&P 500's fifth straight month in decline. Looks like September's similar, relative performance contrasted with July could make October look a whole lot like August...
Technical measures are in fine position for a moment preceding a prospective throttling over weeks ahead. Relative strength (top panel) and momentum (bottom), both negatively poised, have plenty of coincident market weakness prospectively to mark, as August recently displayed.
This week's letdown made a failure of a banks and financials short squeeze and a triple CME drive to coax a bid. This being recognized by week's end suggests there's no juice left to hold the S&P 500 above its line of support since 2009.
Present similarity to the market's condition early-August could find another tidal wave of selling materializing straight ahead.
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