#SPX #DOW #NQ #RUT = Alert – Possible Weekly Damage on Friday = 19.08.2021 #NQ $SPY #QQQ #US30 #ES_F #RTY_F #NQ_F

Indices have a tough task for Friday. If they fail, there is a good chance of forming the bearish weekly candles with unpleasant consequences. Let’s have look into the candles details.

The upper row – daily cash indices, the bottom row – current weekly candles of cash indices.


RUT formed a standard bearish continuation candle. Expect a decline tomorrow.
If RUT is meant to reverse, it needs to rally 50-60 points from current $2132 on Friday to make the weekly candle bullish. I am not saying it’s impossible, but…
On the other hand, if $2100 does not hold in this pullback and this week closes below, the next stop would be $1850, worst case – $1600.

SPX made the In-Neck combo that is normally viewed as bearish continuation. The odds are bearish, but anything could happen. If SPX closes below $4424, it would make a strong bearish Inside Down. If above – would depend on the level.

NDX made the formation similar to SPX. In order to transform the current weekly candle into a bullish one, it would need to rally at least 180-200 points on August 20.
The bearish extreme – if NDX closes on Friday below $14180, expect a multi-week/month corrective action.

The daily candle could be viewed as a Morning Star doji or a bearish continuation.
If DJI closes:
– above $35000 with a green candle, expect the next week bullish;
– below $35040 would form a weekly Bearish Engulfing. Better not!
Anything in between would postpone the trend decision.

On a side note, $DXY and $VXX closed today with the daily candles as if they are ready to fly higher on the last day of the week.

There is a very strong rally needs to happen on August 20 in order to fix the weekly candles for the major indices. It sounds like a big decision day will be tomorrow.

There is still little hope.

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