As expected, the DIA/$DJIA has now made a solid break below the ascending channel (previous & updated daily charts below):
It’s also worth noting that the SPY is now approaching the bottom of it’s ascending channel (previous & updated 4 hour charts below). Although the odds favor a reaction (i.e.- bounce or consolidation) off T1 (first target, which is the bottom of the channel & intersecting horizontal support) I would not be surprised to see prices slice thru or gap down below that level soon. However, support is support so best to wait to see that level clearly taken out before aggressively adding to existing or new short positions.
