Today’s Market Outlook:

With above-average trading range and volume, the S&P 500® closed lower by nearly 20 points. The broad market produced its second consecutive oversold cluster as the intermediate, momentum and near-term lines all finished below the 10th percentile. The long-term Market Sentiment line continued its decline towards the lower-reversal zone. The NASDAQ 100® also produced its second straight cluster while the Dow Jones Industrial Average finished with its first cluster of this bearish intermediate cycle. On the other hand, the Russell 2000® formed its 14th oversold cluster of its bearish cycle – tying it with Q4 2018 as the longest run of its history. Also, its Market Sentiment is the only one inside the lower-reversal zone. In fact, the small-cap index formed its second straight weekly oversold cluster.