Chart Monkey Update: Risk Of A Bigger Correction Rising

This morning, futures are pointing to about a 1% loss on the S&P 500 at the open. Importantly, if the market fails to recover by Friday’s close we will be looking to reduce portfolio risk across the board as the risk of a deeper correction has risen markedly.

The chart below shows the current break of the bullish trend from the 2016 lows. You will notice the one-day rally failed at the trendline which has now turned that previous level of support into resistance.