I’m switching to an hourly chart to zero in on what is hanging up the decline in SPX. The culprit is a Short-term support/resistance line at 2099.86. The decline appears to be resuming after a bounce from that support zone.

The primary view is that SPX may bounce from one of the trendlines this afternoon to complete Wave [i].

The alternate view is that the decline may be (iii) of [iii] of 1, so it may stretch beneath the two trendline supports beneath it. The next target may be the 50-day Moving Average at 2075.57.

VIX is resuming its uptrend on an aggressive buy signal. That signal is confirmed above the Broadening Bottom trendline high at 17.65.

TNX was due for a Trading Cycle bounce today and it has appeared on time. Trading cycles are usually not associated with a trend change and usually don’t last very long. We may expect to see TNX bounce back to the Triangle trendline at 17.25.

Regards,

Tony

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