S&P 500 and Dow Analysis as on 21st July (Futures Charts)

Dear Readers,

There is a divergence on S&P 500 Futures Chart and Dow Jones Futures Chart. The S&P 500 Futures are trading nicely above the Main Downtrend Line but the same for Dow is not true (at the time of writing this post).

In short, I put the following scenario:

1. Main Downtrend Line - Has been crossed on S&P 500, but not yet on Dow Futures.

2. Moving Average Sequence - It is still negative for both indices. But it can change if the price continues to climb up.

3. Both S&P 500 and Dow Futures are still below the 38.2% retracement of preceding fall.

4. There is a SHOOTING STAR on the S&P 500 Futures Chart on 17th July. The high of that Shooting Star has to be taken out (1261) for a new upmove. So far for past three days, it's not been able to do that. So, today is crucial.

We need to watch closely today how the two indices behave and then decide whether the recent upmove is sustaining or not.

Yours...