Daily update 7/30 The Summation Of All Fears

The bulls held the market up, but could not make an y progress.  Will they be able to hold it up long enough to keep going forward?

Both  price and breadth ended the day dead even.  New highs outpaced new lows for a change 85 to 77.  I guess today did not tell us much.

The futures did not make the higher close yet so we don't have confirmation of a break above the 18 SMA.  Will we or won't we roll over from here?

I think the bulls need to show up tomorrow to keep the party going.  The ice is pretty thin here.  A close below today's low is likely to bring the sellers back out. 

This is a pretty interesting piece of research.  The Summation Of All Fears  This chart and table are from the article.

That is a pretty good track record of spotting bear markets.  It nailed all three we have had since 1970.  I do not consider 1987 a true bear market.  The low was made just a few months from the high.  This backs up my research that indicates we are on the cusp of a bear market.

This is an interesting article a reader sent in.  Market is Thinning Out  That one contains this amazing graphic.

That seems a little out of balance doesn't it?

Bob