SPX and INDU Updates: Three Time Frames

Last update warned that bulls were running short on real estate and that near-term trend has continued.  Let's look at three charts that illustrate the market's position at three distinct time frames, starting with the SPX daily chart:

While SPX is still holding red on the chart above, it has now overlapped its first meaningful near-term zone, suggesting the rally from last month's low is a three wave form.  This further implies it's either a b-wave high or part of an ending diagonal -- at least, those are the most likely implications (bull nest can't be ruled out yet; nor can "failed fifth").  If it's a b-wave high, the c-wave decline would be expected to reach ~6550 or below -- but then it would be expected to recover to a new ATH.  If it's part of a diagonal, it would be expected to grind higher again directly.

Finally, in the big picture, we're now nearly two years into this pattern, and INDU has finally completed the bare minimum requirements:

In conclusion, the market has continued showing weakness and the onus is now on bulls to start recovering some key zones to undo the technical damage.  Trade safe.

p.s.- Just a quick shout out to the people who support these updates (you know who you are) -- you are very much appreciated, thank you!