Submitted by Mark Hanna
Courtesy of MarketMontage. View original post here.
It does look like we are experiencing the first real correction of the year. If certain patterns fulfill technically there will be more downside to come. However short term some short term indicators are flashing oversold and the S&P 500 is coming into some support areas in the 1538 – 1540 level. Low this AM was 1541. If bears can somehow just bust right through that without trouble, being this near term oversold it would be quite interesting. That said, pressing here is a lower probability outcome as you get closer to one of those relief type rallies – dead cat or otherwise.
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