Daily Market Commentary: No Change at the Top

Today's losses barely registered in the larger scheme of things. There was slightly heavier volume selling in the S&P, but the doji suggests indecision. The S&P is some way from a test of support, so another few days worth of losses are unlikely to make too much of a difference as to the direction of the trend.

($SPX)

via StockCharts.com

The Russell 2000 had offered itself up at former support-turned resistance and it experienced one of the biggest losses on the day. Although it was still a relatively small decline.

($RUT)

via StockCharts.com

Meanwhile, the semiconductor index took the biggest hit Tuesday. While there was no loss of support there were new MACD and CCI 'sell' triggers to contend with.

($SOX)

via StockCharts.com

Tomorrow is likely to see more of the same. Sideline money has little incentive to step in without support to look too. Existing holders have no reason to sell with the trend running in their favour. While shorts will be worried about new highs and will be quick to cover if there is another pop to new multi-year highs.

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