The main indexes all opened moderately higher, but were utterly unable to hold the gains, and the bears took control of the day. The sp' closed -13.6pts @ 1612. The critical line in the sand is just 14pts lower. Any hourly/daily close <1598, and this market is in massive trouble.
Today was indeed another pretty dynamic trading day. Those opening gains of sp'10pts to 1637 sure look a long way up now. It makes me wonder how many retail traders were chasing the open higher in the mid 1630s, and are still holding long at today's close.
The daily close of 1612 put in a very bearish candle, confirming the previous two days of weakness.
The 50 day MA @ 1610 did appear to hold today, but really, the only important level now is 1598.
Overnight futures trading will be very important. The market only needs to get whacked -1%, and the key low is taken out, and we might see a rather fierce cascade lower.
In favour of the bulls though, the current hourly charts are very low in terms of the MACD cycle, and we're due a bounce of some degree.
a little more later...