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The 3% loss this morning hurts, but the market this morning is starting to look ugly. I don’t know if this is a 1987 crash teaser fake out or the real thing. Oh yeh the real thing never happens. So its probably a tease because today is options expiration; aka one of the most volatile days of the month.

I took the loss in the trade on the off chance that we end lower today. I don’t want to risk the whole month’s worth of profits. I already lost about half this morning.

Now that the crying is out of the way, lets talk technicals.

The Dow is hitting its 50d ema, actually now that I’m looking at with new lows, the Dow broke its 50d ema, but is mildly bouncing or trying too get back above it. The 50d ema mark is 13708.

The next support line for the Dow is the 100d ma which stands at 13559.

For the NDX, the first line of support is the 10d ema which marks at 2157. Its there right now. The fact that the Dow is testing its 50d ema vs the NDX only testing its 10d ema shows that the NDX is the more technically sound index.

The RUT is cracking its 100ma, 50d ema, and finding support at its 200ma today. The RUT looks the weakest of all indexes imo. However, the one possible thing is that it might have pulled back enough to start going again.

The SPX next support for SPX is its 50d ema which stands at 1515. Thats another 6 pts lower than where we are right now.

The COMPX next support is its 20d ema which stands at 2746. At the time of this writing the COMPX is at 2751, so its almost there now. Beyond that its the 50d ema and that stands at 2683. Too far down imo.

Today might present a great buying opportunity if the indexes hit important support zones.

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