SPX and NYA: Cracks Forming -- But Will It Actually Break?

No change since last update, except to note that SPX has reached its first downside target-slash-potential support zone.  If it sustains trade below dashed red, then solid red becomes the next target (and sustained trade below solid red would then target ~5767).  But lest everyone get too focused on the lower levels -- remember, bears do have to punch through dashed red first.

NYA has fallen through its first support line -- bears need to hold that:

In conclusion, the first crack appeared on June 10, and cracks are continuing to spiderweb across the charts -- we'll see if the glass breaks on bulls or not.  But if it does, again, please keep in mind what I discussed last update:

That said, be aware that IF the highly speculative 1?? and 2?? on the near-term SPX chart happen to be unfolding, then these early downside targets might be VERY conservative.  Because if this is a second wave decline, then its job would be to convince everyone that the bear market is resuming -- which implies a deep and scary decline, potentially of 500 points or more.

And it also bears mention that SPX did not reclaim its all-time high -- which means that if the decline gets teeth, then it's not outside the realm of possibilities that the bear market IS resuming, so we should be aware of that, as well.  But before we even consider going there, let's see how bears handle these potential support zones first.  

Trade safe.