FX:SPX500 S&P 500 index of US listed shares
It it still whether we're heading into an market, but there are some uncomfortable similarities between the current rolling over of the with how it behaved during the last two markets. It is only one indicator, and there are many other factors at play. But, typically markets do not peak with a sudden drop in prices (see the drop in 2011). Rather, they turn much like the arc of a large ship with failed retests of an uptrend. The momentum gradually comes out of the uptrend while prices continue to plough upward. That divergence has been occurring on the monthly chart for the past year. If we do get a downturn, given where the momentum indicators are in their cycle, there is still considerable downside ahead of us. 1600 on the S&P 500 would be the first target.