Semiconductors were little better off; Tuesday saw the loss of the 50-day MA and Wednesday kissed the reaction low good bye. The measured move target of 275 closely approximates the current 200-day MA value - so the 200-day MA is a good downward target to watch for here
With semiconductor strength melting away don't expect the Nasdaq to hang on to its reaction low or maintain its bull channel - although stochastics are almost oversold so some form of relief bounce to the 20-day MA could emerge here.
The S&P didn't escape with a break from the rising channel on heavier volume with a loss of its 50-day MA.
Most indices are approaching oversold conditions and there may be enough demand just below the 50-day MAs to see bulls make a stand.
Dr. Declan Fallon, Senior Market Technician, Zignals.com the free stock alerts, stock charts, watchlist, multi-currency portfolio manager and strategy builder website. Forex data available too.