However, any rally attempts this week should be considered last gasps that will fail. The result will be a plunge into early October.
The white trendlines represent short term downside targets.
Many leaders have underperformed from the May high, and this is an early warning. RUT is keeping pace, but normally would be expected to outperform during a decent rally phase. Notably, TRAN is already collapsing. The conclusion is that SPX is currently trading in the late stage of a bubble, and the warning is clear for the months ahead.
It is important to recognize that these relationships are more relevant to bigger picture views rather than short term outlooks. Bigger picture charts are coming soon.