When major US indices form daily bearish candles in unison, one pays attention. The worst is NQ Composite: it formed a bearish monthly in May, a bearish weekly on June 4 and a bearish daily today. All with the supporting indicators (below).
The next chart is the monthly closure for indices. All on overbought RSI. Previously, a similar condition happened in 2018. Smallcap and NQ – Hammers. SPX – Dragonfly Doji. DJI – Spinning Top/Evening Star.
I hope this is a false alarm.
Please follow the blog on Twitter: @InvestingAngles or by email subscription. Like and/or Retweet if you find this information beneficial.
Previous post on the topic: