Today, the S&P 500® fell more than four points – despite trading in a 25-point range – on above-average trading volume. The intermediate posture and long-term Market Sentiment are both falling. The intermediate line is moving below the 80th percentile, which reflects a bearish posture but not one strong enough yet to end the current bullish intermediate run. Both short-term sentiment lines’ declines stopped short of falling into oversold territory. The near-term line dropped into the chart’s lower half after only two days above the 50th percentile and without peaking in overbought territory. The bearish near-term high is another red flag that would suggest the intermediate run is coming slower to its end.  All the major indexes show the same pattern on their respective Market Forecast charts. The Russell 2000® is showing a bullish intermediate confirmation signal with its oversold momentum line, near-term line below the midpoint and strong bullish intermediate posture.

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