The S&P experienced higher volume distribution, but is enjoying a relative strength gain against the Russell 2000.
The Nasdaq undercut the 50-day MA, also on higher volume distribution. Technicals are all net bearish with the January-March neckline next up to play as support. Should this undercut into this consolidation, then a retest of February's lows come into play.
The Russell 2000 took the biggest loss on the day, bringing the index back to rising channel support. The index undercut its 200-day MA and is on course to challenge the 50-day MA. To add to bulls troubles there was a bearish cross of the +DI/-DI.
Tomorrow is set up for bearish follow through with the Russell 2000 weakest of the indices. Should bulls make a positive start, then the S&P will be the index to watch as money cycles from speculative issues to more defensive ones.
You've now read my opinion, next read Douglas' and Jani's.
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Dr. Declan Fallon is the Senior Market Technician for ChartDNA.com, and Product Development Manager for FirstDerivatives.com. I also trade on eToro and can be copied for free.