Yesterday's selling continued into today, but there was limited follow through downside in the indices. Selling volume in the S&P was down on yesterday, although there was no clear price support.

A tough day for bulls, a day which hurt Large Caps more than any other index. The S&P cut deep below 2064. It looks good for a push back to the 200-day MA, which is just above 1,988 support.  Volume climbed to register as distribution.

A modest recovery in markets likely helped bears more than bulls, although indices didn't recover enough to offer bulls anything more than a respite. The exception was the semiconductor index; it finished just above its 20-day MA, which is above 700 breakout support. It flashed a MACD trigger 'sell', which may expand om weakness tomorrow, but the daily chart is looking very good for bulls.

Friday was the first real move bears have successfully pulled off in recent weeks, at least for the S&P and Dow. In the case of the S&P, there was a decisive undercut of 2093 and 20-day MA, with the index finishing just 9 points above its 50-day MA. As the latter moving averages offered little in the way of support in January or February, the likelihood it that we will see another challenge on the 200-day MA. Volume climbed to register a confirmed distribution day, and came with a technical bearish cross between -DI and +DI. Any rally back to 2093 will likely get shorted on Monday.