Stock Indices Continue To Slide As Market Breadth Strengthens

The Indices continued their slide this week and closing today near the lows of the day and week. Volume is now beginning to increase, suggesting the selloff is beginning to attract more sellers. The problem is Market breadth is continuing to increase. This is a divergence that gives me some heartburn because it means there is part of the Market that is beginning to strengthen. If there are lower prices next week, I will be using caution unless or until I see breadth begin to weaken as well. On the other hand, the Briefing outlines important resistance levels should there be some type of move higher.

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