In poking a lower low and pointing MACD down, the Bank Index needs the bulls to prove their case, not the bears.

NFTRH was on the first two lower highs in real time and now the ratio has gone on to establish a beautiful bear trend. It’s only a daily chart, but the weekly is trend DOWN as well. There is no positive divergence for the stock market here.

About 9 days ago, the markets experienced a 300+ point shock event down. However, that shock event’s price appears to be stabilizing after Friday’s large PPT reversal bounce (which began 4 hours after the Japan market open, when the Nikkei was down over 400 points).

With the help of some of NFTRH‘s standard weekly charts, we take a snapshot of the US stock market.

The following is an excerpt from NFTRH 298′s 38 pages of hard hitting, no b/s market analysis, which also included extensive work on the precious metals along with commodities, currencies, global markets and market sentiment.

We have talked about what is negative for the US stock market. From the signal in the banks vs. S&P 500 to a young uptrend in long-term T bonds vs. the S&P 500. Here is the 2011-2014 market leading BKX-SPX in breakdown mode.