Vanilla XJO Thread, page-581

14/6/25. U.S. market falls heavily. Energy sky-rockets.

Dow Jones -1.79%. SP500 -1.13%. Nasdaq -1.3%. Small Caps -1.93%. Banks -2.12%.

Dow Jones has fallen below its 20-Day MA. DJ often leads the other two major indices. Expect the other two to follow the Dow below their 20-Day MAs.

Dow Jones.

Plenty of short-term sell signals starting to show up on the chart.

W%R is below its mid-lion. Dynamic zone Stochastic has dropped below its upper band. MACD Histogram is below its mid-line.

Short-term Hull MA9 has turned bearish.

RSI is hovering just above its mid-line.

DJ Chart has retreated from the top of its value zone. That often acts as resistance.

Nothing drastic yet, but it might be time to take defensive action.

Plenty of support at the 200-Day EMA if the Iran/Israel situation proves to be a storm (big storm) in a tea-cup. If 20-Day EMA fails, we're probably looking at a bear market.

Commodities.

Plenty of knee-jerk reactions in commodities to the Iran/Israeli conflict.

Commodities Index +3.1%. Energy +4.84%. Base Metals -1.1%. Agriculture -0.19%. Gold +1.31%.

ASX Overnight Futures: Down modestly -0.23%. That seems a conservative reaction given the state of the U.S. stock market and commodities.

ASX in Australia yesterday.

XJO down -0.21%. STW down -0.18%. Those are modest drops.

Short-term Hull MA9 has turned bearish for the first time 5 May. We need to see both Hull MA9 and Hull MA20 to turn blue (bearish) before serious alarm bells ring.

Negative divergences of plenty of indicators suggest we will se lower prices.

Take care.