Charting Outlook May 20: Seasonal selloff underway as US indices complete head and shoulders tops (5 minute video)

May and June has historically been one of the seasonally weaker times of the year for stocks and this year appears to be no exception. The completion of head and shoulders top formations in the S&P and the Dow Thursday indicates that a seasonal correction is getting underway in earnest, with a more hawkish Fed outlook propelling a takedown.

May and June has historically been one of the seasonally weaker times of the year for stocks and this year appears to be no exception. The completion of head and shoulders top formations in the S&P and the Dow Thursday indicates that a seasonal correction is getting underway in earnest, with a more hawkish Fed outlook propelling a takedown.