Something sent oil spiraling down today and in the afternoon SPX decided it needed to go with it. Breadth was -77% showing broad based selling. It is pretty clear the market is still beholden to whatever oil does. The volume diminished considerably today. That means the bulls put their hands in their pockets. A common problem in bear markets.
The futures stopped right at the 20 SMA. The bulls could show up and continue the bounce from here. If we are still above that 20 SMA in the morning that is probably what will happen.
I think the bounce attempt is still alive, but on life support. The bulls need to come out to play tomorrow or a retest of the recent low seems likely. It probably all depends on what oil does and I don't have a crystal ball for that.
Bob
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