SPX S&P 500 and INDU Dow Industrials Daily Chart with 150-Day MA Slope Failures; Keystone's 150-Day MA Slope Cyclical Market Indicator

The Dow Jones Industrials and SP 500 major stock market indexes are indicating the start of a cyclical bear market pattern. Keystone's 150-Day MA Slope Cyclical Market Indicator identifies the start of a cyclical bear market for an index or stock when the 150-day MA flattens and rolls over to a negative slope. The Dow is there and the SPX is just beginning. The Nasdaq Composite, Nazzy 100 and Russell 2000 indexes maintain an upward-sloping 150-day MA.

Either the Dow and S&P 500 serve as canaries in the coal mine as to what will occur with the COMPQ, NDX and RUT, or, the negative slopes for the SPX and INDU will not continue and the big rally in prices will continue and nullify the negative slopes above. For now, you must respect the above development and realize that the SPX and INDU, or DJI, are falling into a cyclical (weeks and months) bear market going forward. Watch the slope of the 150-day MA's closely each day forward.

You can write down the numbers beginning today and record them at the end of each day forward. The 150 for the Dow is 24861.24 and for the SPX is 2741.01. Thus, each day forward, for the cyclical bear to begin growling strongly and lock itself into place going forward, you need to see these numbers slowly decrease each day forward. For example, you would expect the 150-day for the SPX to drop to 2740.99 tomorrow, then 2740.97 on Tuesday, 9/4, and so on. If the 150-day MA's lose the negative slope and begin trending higher again, the bulls are in control and will continue sending stocks higher. Otherwise, the stock market is in trouble going forward. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.

Note Added Monday 9/3/18, Labor Day holiday: The SPX 150-day MA is 2741.33 up from the prior day's 2741.01 so the bull's are pushing it higher to avoid the slope failure. This battle will continue for the days ahead but for now the bulls are succeeding in stopping the roll over in the 150. Tuesday trading will provide another data point for the 150. For the Dow, the 150-day MA is at 24858.07 below the prior day's 24861.24 so the Dirty Thirty continues to slip into a cyclical bear market pattern.