NEW YORK ( TheStreet) -- This week's downside moves in the S&P 500 have been some of the biggest since June, as a series of earnings miss-steps and important chart analysis signals indicate market sentiment has reached an exhaustion point, and that we are in store for a period of downside correction.In earnings forecasts, some of the latest disappointments include weaker results at Wal-Mart (WMT) and Cisco (CSCO). When we factor in the majority expectation that the Federal Reserve is prepared to start phasing-out its monetary stimulus injections, prospects for equities start to look more bleak, given the lack of fundamental drivers in place to drive stock prices higher.
Sentiment, Chart Signal Suggest a Stalling S&P 500
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts
More than 30 investing pros with skin in the game give you actionable insight and investment ideas.