S&P500 - Bearish Divergence - and why lower prices are likely

This is just one observation that might provide an indication of the market rolling over here.  However, looking back at 2008, similar topping pattern resulted in a choppy and UP market before the bigger months later.

In the RSI, it is clear that there are lower lows between the 9th and the 22nd.  However, the price action which seems to be in a clear bearish triangle pattern, has higher lowers between the 9th and the 22nd.  This type of divergences is expanded better on other sites:


Specifically: RSI Divergence

Other: 
Bullish & Bearish Divergence Pattern
Divergences, Momentum And Rate Of Change


Ben Bernanke has made a Jackson Hole speech - Full Bernanke Speech
This speech did not announce any form of stimulus, and put ball in the Fiscal court.

Lets see how this markets hold up over the next few weeks.


One thing that is clear --- Volatility is going to be huge over the next few months.