DOW Industrials Pullback: Short Opportunity

INDEX:DOWI   DOW Industrials
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The economy may be is slowing "recovering," however, there seems to be cracks in the data to suggest that this "recovery" cannot handle an interest rate hike. In fact, this slow "recvovery" may be the outcries of a looming recession, as other data suggests, such as leading economic indicators and the coincident economic indicators that come out weekly and monthly. The new hype says one thing, but the evidence suggests something else.

On top of this, looking at international pressures, China's Manufacturing PMI came out below expectations over the weekend: This may put pressure on the US economy, for a China slow down does not bode well for the US economy, and rates will continue to be put on hold as a result.

Technically, it seems that the DOW is at resistance levels again. Also, there is some divergence showing up on weekly, daily and 4 hour charts, which supports a short position on the US Market.

Technically again, the daily RSI has already begun to break down below its upward sloping wedge .

With all this say, I will continue to hold a short position until "the evidence shows in the data" an in the charts that are economy is expanding once again.
Comment: Nov 6. NFP in the US data was 149% greater than expected, which caused investors to pile into the dollar, fueling hope for a rate hike in December 2015.

I still expect at least a shallow pullback next week in the market. So, for now, I hold the short on the SPX with an open mind.
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