Stocks Get Smacked As Dollar Soars!

The technical action in the major averages has deteriorated significantly now that all the major averages failed to close above their recent chart highs (resistance) and sliced below their respective 200 DMA lines. It is also worrisome to see the number of distribution days pile up in recent weeks which puts pressure on the current five-week rally. In order for a new leg higher to begin, all the major averages must close and remain above their respective resistance levels. Trade accordingly.