Two weeks ago, we draw attention to several red flags suggesting that a pull-back is imminent. The sell-off started on September 2, after the SPX came to within 10 points of our 2020 upside target. As a result, both the daily and weekly signals turned bearish:

The question now is whether the double bottom around 3300 will hold, or whether the SPX will continue sliding further down. The technical outlook is mixed. The average weekly downswing duration since 2016 has been three weeks, suggesting that more bearish action is to be expected. Daily market breadth, however, reached oversold levels, setting up the stage for the next sideways/up phase, or at least a sharp counter-trend rally. In summary, the up phase needs to be confirmed by improving market breadth and a break above 3400, while a drop below support at the 3 x 2 angle at 3300 will invalidate the bullish scenario and will target the next lower support level at 3200:

Oil closed at the downside weekly target and is trying to find a bottom just above $36:

For  10Y Treasury, GOLD, BTC and G5 weekly targets and Buy/Sell pivots, check the TV page which gets updated on Monday.

*Please note that the signals are provided for informational purposes only. They are in effect as of the close on Friday and may change as soon as the markets re-open.

Charts, signals, targets and data courtesy of OddsTrader, CIT for TradingView and NinjaTrader 8

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