SPX opened lower and kept on going. It broke down through the 200 DMA and 20 DMAs. Breadth was -71%. New highs were 57 while new lows came in at 124. Volume was slightly lower then yesterday. Bulls put their hands in their pockets.
The futures dipped below the 50 DMA and the lower channel line. They are right at those lines as I write this. There could be some support here for a bounce.
The green count slipped below 50, but is still above the red line. The bulls still have a chance.
Tech selling was in vogue again today. When this rally started I mentioned we have no sign the tech selling is exhausted. Today was a good indication that it wasn't. Another down day tomorrow will break this rally attempt and the odds shift towards a retest of the low sooner rather then later. The bulls still have a chance to keep the rally going if they come out tomorrow in force. Most of the price damage was done by 11:30 AM. The rest of the day was largely sideways with bouts of buying and selling. SPX took a late day dip to new lows going into the close. However, QQQ and IWM did not make new lows. That leaves a multi hour consolidation at the lows. That could make a bottom for a bounce or be the mid point of the move down. I don't know which it is. I have conflicting data at this point.
Bob
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