Needless to say, I am not loving what I see in the US stock market from an internal perspective.
Using screen-grabs of charts from the Indicator Charts page, let’s take a look.
Tech vs. Broad looks toppy, although not broken. If Tech loses leadership it’s a bearish sign.
Similarly, only worse, Growth vs. Value is dropping. This could be leading QQQ/SPY.
Healthcare has not yet taken up the bull in relation to the broad market, but that does look like a base with potential to resume upward.
Finally, Broad Global continues to break upward from a consolidation vs. Broad US stocks.
Bottom Line
Not positive signaling at this time. Biased bearish for broad US stocks.
We should note that the Semi sector is boinking a new high. So it is a lonely positive. Is it, the usual market leader, pointing the right way or are the other market internals? Here is its ratio to SPY:
If Semi is a “last bullish man standing” we should be on alert for a bearish resolution. But it could also be the one bright light to a more bullish near-future. So I am going to remain calm and not short anything at this time. Though I may sell a few more Tech related items.
