Technicals - Dow Jones, S&P500 and Nasdaq have reached sell signal minimum downside targets

Angela Mangan

QMG Pty Ltd

During June, it was highlighted that given major global index sell signals had been generated in rapid succession, it indicated that the global stockmarket trend / momentum had turned negative, and flagged that a major turning point had occurred. The ASX200 index was the first to generate a sell signal, at 5833 on 20/4/15 (vs current level 5214). This was followed by technical sell signals subsequently generated by the Hang Seng, FTSE, CAC, Nikkei, Dow Jones , S&P500 and Nasdaq. Over recent weeks, the minimum downside index technical sell signal targets have been progressively reached / exceeded in most cases. Last Thursday the Dow Jones reached the sell signal target level, and on Friday the S&P500 and Nasdaq indices did likewise. The nominated downside targets are the minimum expectation for a pullback. Significantly, there is no sign of base forming emerging on the key global indices. Upward reversal formations will need to be generated on the index charts to signal that a turnaround has commenced.


Angela Mangan
Technical Analyst
QMG Pty Ltd

Angela has over 30 years experience in the technical analysis field. She provides technical analysis coverage of major Australian and global stocks / key markets, including provision of a bespoke technical service to wholesale clients.

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