Aussie Index (SPI) 11th June 2011 Weekly

"markets can often come under selling pressure in the 3rd month of the Quarter if price is rejected from the monthly 50% level, and extend towards the following quarterly lows. Therefore the trend bias is to continue down into the June lows @ 4462, and then possibly extend towards the July lows

And if history repeats, then that's the level we should focus on in July, with the expectation that there will be Short-term counter-trend moves upwards until then"

SPI Monthly and Weekly cycles

The Trend has remained flat with a downward bias......

and as noted in last week's report.... if there is going to be a counter-trend move upwards, then is most likely going to align with the June lows @ 4460/62, and the S&P 500 finding support @ 1254-59 (US Index report)

However, as noted in last week's report, any counter-trend moves are simply short-term up moves, as part of a larger reversal pattern towards the July lows.

For those who subscribe to the definition of bear trends that is defined by the Primary timeframe, the current trend is trading below both the Yearly and Quarterly 50% levels.

Financial stocks have been in bear trends since early MAY, whilst resource stocks aren't, and they continue to remain above their own, namely BHP & RIO. (read the Stock Report)