The US equity market appears to have hit a wall at sp'2019... and having now fallen to sp'1906, we've seen a rather important bearish monthly MACD cross. MARCON status is lowered to 6, for the first time since January 2012.
With the extra few points lower into the Friday close, the sp'500 saw a bearish MACD cross, and went negative (blue bar histogram) cycle on the giant monthly cycle.
... MARCON 6... for the first time since January 2012.
It is notable that the R2K turned MARCON 6 in July.
The Dow turned MARCON 6 at the Monday open of this past week.
No doubt, the sp'500 will likely bounce in the latter half of October, and MARCON status will likely have to be changed back to 7.. but still.... today was a key warning.
Market appears headed for sp'1750. If analogous to the summer 2011 retracement, then target would be 1650.