Daily Market Commentary: Techs lose 50-day MAs

While the S&P honored 50-day MA resistance which it had failed to break yesterday, the Nasdaq wasn't able to maintain its hold above the 50-day MA. Early gains took the Nasdaq up to the 20-day MA but in the end it finished near Wednesday's low.

($SPX)

via StockCharts.com
($COMPQ)

via StockCharts.com

Small Caps, which had been leading the markets higher, stumbled at the 20-day MA after it pushed through its 50-day MA yesterday. The 'spinning top' marks indecision so it is by no means certain bears have control.

($RUT)

via StockCharts.com

The semiconductor index also struggled at declining resistance.

($SOX)

via StockCharts.com

Friday is likely to see lower prices given the presence of declining resistance and/or 20-day/50-day MAs. In addition, the willingness of buyers to defend Monday's rally will be a key factor in how far markets fall over the next couple of days.

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