On the , the 9EMA has now crossed decisively down through the 20MA in the first stage of fresh 'sell/avoid signal.
lines had cross Wednesday and because $SPX closed below Wednesday's low, then we have a confirmed 'sell/avoid' signal using Wilder's .
The mid-line support on the monthly $SPX chart I put up over the weekend is in the area of the 50MA on the and also in the area of the next major at 1746.20. Don't know if we'll even get there but if we do I wouldn't want to see this fairly large fail to hold.
Market isn't likely to go straight down. Never does. But I'd be cautious placing too much confidence in a snap-back rally which may prove to be a suckers rally instead.
Thanks for your comments. GL