Curiously, however, as quickly as the breakouts occurred, they have since reversed. As I write this morning, the markets are down another 1% putting most of the major US equity indices below their respective breakout points from last month.
First, take a look at the NYSE which is, perhaps, the most broad-based of the major equity indices. The 11,100 area has proven virtually insurmountable over the past year. It's made four separate breakout attempts, all of which have failed. The most recent attempt last month, broke above on an intraday basis, but immediately turned tail. It has fallen hard ever since. Both its MACD and RSI have turned sharply lower suggesting that sellers have taken control. It now sits squarely on its 50 and 200 dmas.