SP 500
The S&P 500 fell rather drastically during the course of the session on Thursday, crashing well below the 1980 handle, and even the 1950 level. With this being the case, the S&P 500 looks as if it is ready to continue falling, and that there are obviously a lot of concerns going forward, and that being the case any rally at this point in time will more than likely continue to find sellers. Exhaustive short-term candles will be the catalyst for me to start playing. I think if we can break down below the bottom of the range, the market will also fall from there. At this point in time, it’s always impossible to imagine buying this market, at least not until we get some type of longer-term candle that suggests buyers are coming into the marketplace. Because of this, I anticipate that today is going to be very tough today.
NASDAQ 100
The NASDAQ 100 also fell rather significantly during the course of the day on Thursday as selling increased late in the day. Because of this, it looks as if the market is ready to continue going much lower, and at this point in time I also believe that short-term rallies will be selling opportunities as well. A break down below the 4300 level sends this market down to the bottom again, which is closer to the 4100 level. The NASDAQ 100 looks absolutely horrible at this point, as do most European and American indices.
I have no interest in buying this market until we get some type of longer-term buy-and-hold type of signal, and at this point in time it’s hard to imagine that happening over the next 24 hours. Having said that though, given enough time we will probably get that signal, but in the meantime selling is the only thing that I can imagine that will be offered anytime soon. Look to short-term charts, but it’s going to be difficult place a trade until after the jobs number comes out.
