In today's update:
1) Worries over an economic slowdown escalated Wednesday after bond yields plunged and equities closed sharply lower. The Dow Jones Industrial Average dropped 221.36 or 0.87%, the S&P 500 fell 19.37 or 0.69% while the Nasdaq 100 closed lower by 60.04 or 0.79% and the Russell 2000 finished lower by 14.07 or 0.94%.
2) Crude Oil Futures finished the day flat while Gold Futures advanced $2.50 or 0.20% despite more strength in the U.S. dollar. The Bond Market traded higher and the yield on the 10-year Treasury Note settled at 2.264%.
3) The Head and Shoulders pattern is a specific chart formation that predicts a bullish to bearish trend reversal. Statistically, it is one of the most accurate price action patterns and almost always results in lower prices. This pattern is now clearly visible on all four main U.S. Equity Index charts.