Index Weekly Wrap for the Week of Oct 26

US three major indexes have all broken down their major uptrend lines decisively this week(as shown in below weekly charts). Not only that, all three also broke their respective 200dma which widely seen as the territory border for bull and bear. By now, both DJI and SPX have given up their all YTD gain and in losses, tech-heavy weighted Nasdaq index also gave up most of its gain and is the only index still had positive YTD return with 3.82%.

The fear index VIX jumped 21% to 24.16 this week, and it surged up 63% over last three weeks. Indicating investors turning to risk-off assets. Gold bottom rebounded to its three-month high of 1235.4 this week.

In the 11 SPY sectors, only four have YTD positive return i.e Utility, Tech, Consumer Discretionary, and Healthcare. All 11 sectors ended in red this week, with the Real Estate sector with the least loss of 1.07% and Energy sector suffered the most loss with 7.06% down. Refer to below sector weekly performance table.

In Asia, China SSE index was the only index rebounded with 1.9% up, but it's still the worst market with YTD return of -21.44%, HSI and STI lost 17.39% and 12.66% respectively YTD. HSI dropped below 25000 level and STI dropped 3000 level this week, both are important psychological market level.

There is a technical support level of 2950-2880 level for STI index if it continued south.