SPX, ESmain Flash Downside, DJI Divergence
$S&P 500(.SPX)$ and $E-mini S&P 500 - main 2603(ESmain)$ both completed ABC structures at today's high, increasing the odds that the Wave 2 rally is DONE.
Both counts favor immediate downside to the Daily FVG at 6,905–6,857.
However, CPI is Friday — so I'm open to a quick new ATH from the volatility injection.
But the ABC completion leans toward a flush lower for Wave 3.
Close below 6,857 = SELL SIGNAL.
Targets: 6,720 → 6,500.
Either way, the next multi-week directional move is DOWN.
$Dow Jones(.DJI)$ rallied 37% from the 2022 low — the exact same gain it made from 2018 to 2022 before topping.
5th wave about to complete at 50,350-50,800.
RSI divergence.
3-Month SMT divergence w/ $NASDAQ 100(NDX)$
Once Dow falls, they ALL FALL.
20% downside from here puts DJI at 40,000.
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