Today’s Market Outlook:
With above-average trading volume and range, the S&P 500® closed lower by more than 72 points. The intermediate line dropped into bearish territory and remains below the falling long-term Market Sentiment line that is close to falling out of bullish levels. The momentum and near-term lines finished at extremely low levels. The Russell 2000® formed its fourth straight oversold cluster. The Dow Jones Industrial Average came close to producing a similar signal for the first time. On the other hand, the intermediate line for the NASDAQ 100® just barely crossed below the chart’s midpoint. But, its extremely bearish short-term sentiment suggests the mega-cap index may catch down soon to its small-cap counterpart.