The S&P followed through on its continuation pattern by delivering a solid red candlestick lower. Those big red candlesticks have also come with bearish distribution.  Next stop is the 200-day MA on net bearish technicals. 

The Nasdaq finally gave in to the selling experienced by the S&P with a break through support defined by the July and August swing lows.  It came with a 'sell' trigger in On-Balance-Volume and an acceleration in the relative loss to the Russell 2000.  The next support level is the 200-day MA - a moving average which last saw a test in early 2020 when Covid first hit the headlines. It's hard to see buyers stepping in until we reach this moving average as there isn't a whole lot of alternative support to work with.

We have the Russell 2000 caught in a long term trading range, and despite registering a gain it hasn't changed the larger picture in favor of either bulls or bears.  The only index at a point of inflection is the S&P.  After breaking below the bearish wedge it now finds itself rallying back to former support turned resistance.  There are flickers of good news; intermediate stochastics returned above the bullish mid-line and Friday's close finished above the 50-day MA.

The tough start to the week has seen much of this lost ground recovered, but getting to challenge highs is still some way off. The Nasdaq is at least approaching its 20-day MA as technicals see a small recovery with a new On-Balance-Volume 'buy' trigger. The index did successfully defend support connecting the July and August swing lows, although it did suffer a relative performance loss against the MACD.