Since the beginning of the year, the SPYs have formed a head and shoulders pattern. Prices have recently broken the neckline and are now headed lower.
Note the EMA picture is turning more and more negative. Now the 10 and 20 day EMAs have moved below the 200 day EMA and the 50 is about to follow.
Looking closely at the latest downturn, notice the large number of downward candles. From the peak of 113 to today's open is a drop of nearly 9%.
On the 10 day chart notice that prices are in a clear downtrend. However, Prices have moved lower (a) followed by three areas of consolidation -- all at lower levels (b, c, and d).
Gold is a chart that I've been watching, largely because of the technical issues. Notice that prices had a difficult time getting above the 122-123 area (a). Prices have now retreated from that area (b) and are resting on the 50 day EMA (c) for technical support.
The daily chart shows the price action in a bit more detail. Notice that prices were in a range of 120-123 for about 8 days (a). Then last Thursday prices fell at the open and continued moving lower for the entire day (b).
Oil has also taken a technical tumble over the last week. Notice that prices have broken key technical support (a). In addition, the 10 and 20 day EMA is clearly moving lower and the 10 has crossed below the 20 (b).
Oil's daily chart shows a bit more detail of the price action. Prices gapped lower on Tuesday morning (a), consolidated for two days (b), then fell on Thursday morning (c) only to have prices consolidate again (d) for the remainder of the week.
The Treasury market continues in its uptrend (a), especially after breaking key resistance levels (b).
