17Dec3:33 pmEST

This Chart Does, Indeed, Belong in the Guggenheim

It is fitting that in a market with long-running divergences and bifurcations, we are closing out t2015 with the weaker parts of the tape seeing their underperformance exacerbated further. 

It was just yesterday that we noted the SEA, a Guggenheim Investments' ETF product of the shipping sector, plunging to fresh multi-year lows. 

And today, with prominent tanker TK plunge 60%, among other carnage in the sector, SEA is entering a likely capitulatory/washout phase, with its angle of descent headed straight down. 

So do you buy the blood in the sea here? 

Typically, the wipeout phase can be a one-to-four day event, which means waiting until next week to look for a quick bounce is likely correct.

But the bigger picture is that the extreme carnage in certain parts of the market continues to keep a lid on the many bull theses out there for an imminent breakout to new highs, at least one where we have broad-based health participation. 

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