Markets Getting Ready To Go Down Again To NEW LOWS- AUG 20 , 2014

Aug 20 2014  6:20 AM PT

NASDAQ & QQQ made new highs in the last two days . The rest of the indices did not make new highs. This divergence  clearly indicates weakness of the markets. Markets made a low on Aug 7 in  First leg down . The Leg two up  may be  completed  soon  and we will start the much stronger Third Leg down  which will result in new lows for the year . A  drop below Monday's lows will confirm this. A rally to recent highs or slightly above that cannot be ruled out.

Gold has not given a clear SELL signal yet. This will happen if it goes below $1280. 

RUSSELL 2000 has been the weakest index so far and it will make new lows below May lows soon.

DJI

SPY

IWM

TNA  REAdy to give SELL  signal

TZA

GLD

NUGT

DUST

SLV  Gave a SELL signal on JULY 21