From the Desk of Alfonso Depablos @AlfCharts
2024 is far from being like 2023.
While we’ve experienced some healthy sector rotation, the first quarter was characterized by waning momentum.
With these long-standing momentum divergences in place, so far, the second quarter has been characterized by selling pressure.
Since last week, we’ve seen an increasing number of these divergences confirmed by price.
Making matters worse is where this downside is taking place. We’re also seeing a growing list of indexes and sectors lose key former highs.
Until the bulls can reclaim these polarity zones, markets will remain messy.
Let’s talk about some of them.