Largest Bearish Reversal Pattern In 20-Years Forming?

Stock Market

by Kimble Charting

Is the New York Stock Exchange Index (NYSE) sending one of the largest bearish messages in years? Possible!

This chart looks at the NYSE index on a monthly basis over the past 13-years. The index spent the majority of the past 11-years inside of rising channel (1).

The weakness in March took it below the support of this rising channel for the first time in a decade. The rally since the March low currently has it kissing the underside of the channel at (2).

While kissing the underside of the channel and its 61% retracement level of the large decline this year, the index could be creating one of the largest bearish reversal patterns in 20-years!

The end of the month takes place this week. Where the NYSE index closes out the month could end up sending a very important message from this very broad index!

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