Another one from David Rosenberg before I end it for the night…seriously. This one is from his morning piece, but it applies equally well now:
THE NEEDLE AND THE DAMAGE DONE
The needle, in this sense, is the equity market, and the damage done refers to the technical action.
First, the S&P 500 broke to a new intra-day low yesterday — 1035.18 — slicing below the 1,042.17 level on June 8th, the 1,040.78 level on May 25th, and the 1,044.50 level on February 5th. For the first time, the S&P 500 broke below the 1,040 threshold on an intra-day basis and this was a critical level, which up until yesterday, was holding. But no longer.
Just say No!..And cue the music.
Neil Young’s original
Jewel’s cover
Source: Breakfast with Dave, David Rosenberg, Gluskin Sheff