Another overnight bounce, another head fake…

continued for members…

The broader equity picture: a little clearer falling channel for ES…

SPX’s H&S is in play, with the backtest already done… COMP is down over 10%. USDJPY is getting close to that TL of support again. Time to let go and tag the SMA200 as it approaches 111.60?

EURUSD is still being supportive of stocks…how much longer? DXY is sitting right at a backtest of its broken channel.GC is at and SI is almost at our upside targets, on the brink. Can’t imagine the Fed letting them break out… And, BTC goes sideways another day.Oil and gas – finally stalled?

The same question therefore applies to TNX.

This is a critical point for most of the charts. For SPX, it’s an important test of the rising white channel bottom. More important to keep it intact or provide a test of the SMA200? With OPEX tomorrow, it’s difficult to say.

But, if the goal is to put a stop to rising interest rates, this relatively mild correction ain’t gonna do it. We still need oil/gas to reverse and DXY to strengthen – both of which would heap more losses onto stocks.

This would be a logical place for the bounce to run out of juice…

UPDATE:  3:49 PM

Things are pretty much dropping into place.