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Monday’s bounce failed to raise confidence of any type of low in this pullback, as SPX and DJIA fell to close well off early day highs.  However, NASDAQ remained higher by more than +0.60%, or nearly double the gains in SPX as of Monday’s finish.  Gains were a relief, however, following the worst week of the year for US Equities, and three straight weeks of losses.

Treasury yields and the US Dollar both stalled out and have consolidated gains in recent days.  Treasuries look likely to reverse course and very well could get a reprieve from recent selling given the lack of bond auctions for the next couple weeks.  Yields have gotten overbought, yet insufficient evidence is yet at hand to have confirmation of any reversal.  $TNX getting down under 3.84% would be the first real signal.

Technically speaking, SPX remains at/near levels where it should bottom out and turn higher to finish off a month which has proven more negative than seasonality initially had suggested.  Pre-election positive returns have failed to materialize with one trading day left in the month and SPX lower by -2.5%.  Moreover, cyclical projections point higher into mid-March.

However, Technology has certainly bucked the tide, ...
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