"It's time to start look for a top in the S&P500," are the cautious words that BofAML's Macneil Curry begins his latest note, adding that this corrections will pressure 10Y yields to new cycle lows.
Via BofAML,
Start looking for an S&P500 top.
[2]
Its time to start look for a top in the S&P500. Into 1952/56, worst case 1958/68 we look for a top and resumption of the larger downtrend towards 1887/1865 (14m channel and 200d avg).
10yr yields at risk of resuming their larger downtrend.
[3]
This should put significant pressure on US 10yr Treasury yields to resume their larger bull trend for 2.33%/2.29% (retracement and 6m channel support).
* * *
A break of 1928 in the S&P500 says the downtrend has resumed, while Treasury bulls need a close 2.4109%/2.406% to say that the correction is over.
