Utilities tease another failure yesterday but no one knows since they do not know what to watch. The UTIL 50-week MA at 967 is a key support level not only for utes but for the entire stock market. The utilities are already hinting at trouble ahead for stocks because UTIL is in a weekly down trend remaining below the closing price from 15 weeks ago (thin blue line).
The 50-week MA is a trap-door for the US stock market. Here is a link to the previous UTIL chart from a couple weeks ago for further study. If UTIL fails at 967, yesterday price fell to 968 before recovering, the SPX would be expected to dump 20 to 40 points within an hour later, and the stock market would go into a crash profile going forward through the intermediate term. Ominous stuff. And it all depends on the trap-door at UTIL 967. If the trap-door opens, trouble and Strange Days will find you. 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.
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