Our Trenders both turned bearish on Tuesday, the first bearish read since the beginning of June. The current correction and breadth is just too strong to continue to mark the trend as bullish. Today is a follow through potential for the bears so we will need to mark today’s price action (NRx, follow through, reversal …) to begin confirming the trend reversal call by the breadth indicators or to sniff out a bear trap fakeout.
We want the ZBT indicator to move below the 40 mark to reset breadth.
We have establishd a potential target on the CVI:
Our 40 DPI is looking nasty. We are not sure if there is going to be a bounce yet:
Our NH/HL remains above the 40 mark, that is the only good news we can see for the bulls:
For our trenders, we have both in a bearish mode now: