Yesterday, the SPYs were in a fairly tight trading range -- between lines (a) and (b).
In the bigger picture, notice that prices are resting at the 38.2% Fibonacci area.
The IWMs -- which represent riskier assets -- has fallen a bit further, settling in the 61.8% and 50% Fibonacci areas.
As the economic data has weakened, the dollar has as well. After breaking its uptrend (a), prices have gapped lower on several occassions (b). Also note the now bearish EMA orientation -- all the shorter EMAs are moving lower, the shorter are below the longer and prices are now below all of EMAs (c). Finally, prices are now below the 200 day EMA (d).
Gold continues to move lower. Note that prices have formed a two wave downward count -- down (a), up (b) and down (c). Also note the bearish EMA orientation (c) -- all the EMAs are heading lower, the 10 day has crossed below the 50 and 20 is about to do so and prices are below the shorter EMAs.
