The US dollar continued to stabilized and remained above 94 on Monday providing much needed relief to the stock market selling pressure. The equity market simply traded sideways in a choppy narrow range pattern on Monday.
As long as the US dollar selling continue to be under control look for the stock market to stabilize and remains in a tight trading range unless they trigger major buy programs.
Inflection price level remains at 4805 for Tuesday supports at 4790 then 4771.
Dow Theory is showing a clear non-confirmation divergence, a warning to potential sharp reversal from the current higher high in the Dow Jones Industrial Average. Whether or not it is still a reliable indicator remains to be seen simply because the current market is very heavily manipulated and controlled by central banks
