7000 Rejected. Trendline Broken. SPX Downtrend Confirmed
$S&P 500(.SPX)$ just broke below its 2/4 trendline from April.
The 10-month rally is confirmed complete.
Short-term target: 6500
This can happen in days, not weeks.
Ceiling capped at the 7002 peak.
Had extremely HIGH CONVICTION that the decline would continue today.
It respected our pivot point (50%/MT) and crashed to our aggressive downside target nearly 100 POINTS peak to trough.
As I wrote yesterday:
SPX just rejected 7,000.
The 2/4 trendline at 6,860 is the line in the sand.
Break it, and this 10-month rally is officially over.
$E-mini Nasdaq 100 - main 2603(NQmain)$ is flashing the same divergence we saw at the 2022 and 2025 tops.
If history rhymes, we're looking at 20% downside from here.
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