Market structure is currently pointing down to a low into the 6-8 June time window. Thrust, which measures the levels of accumulation and distribution in all 500 S&P components showed several very large distribution days prior to the move down on the 26 May. Before that we had a divergence showing that beneath the surface smart money was exiting at the highs of 2138. We had a second distribution day on the 29th which im expecting to play out into 8th of June lows give or take a trading day either side. On a monthly closing basis we are yet to close above the February close in the value line geometric index, i cannot stress enough how significant that is for the bears as the "retail" indices remain relatively "stronger". In June we are likely to post a significant low in mid June which should provide us for a a spring-board back to retest highs in July/August. I am currently short from 2120 (CASH) , i will continue to post updates on twitter here.
Thank you, Daniel.