The SPYs still look good. Notice we are still printing a series of higher highs (B) and higher lows (A). Also note the price EMA relationship (C). Prices are above all the EMAs, the shorter EMAs are above the longer EMAs and all the EMAs are rising. Simply put, this is a bullish chart.
However....
Is the Russell 2000 forming a double top? Compare sections A and B. The MACD and RSI printed lower on the second top which is bearish. Also note the volume on the second top was lower. Finally, notice how the volume coming out of the second top is increasing indicating more selling pressure. I use the Russell 2000 as a risk proxy; because it is composed of smaller issues it is more dependent on a positive economic environment. When people are concerned about slow growth, they are more likely to sell growth shares.
Also note the Transports may also be printing a double top (A). Note also that at B we have a big candle along with (C) a lower MACD print on the second top.
Food for thought.
