Technical Outlook:

• S&P 500 (SPX) dropped for a third consecutive day yesterday. If the market sells off today, it would mark the first time since June 15th that SPX sold off four straight days. 
• On the volume side, SPDRs S&P 500 (SPY) saw a third straight day of rising volume and came in at average levels. 
• GDP came in at above expectations this morning (2.9% vs 2.5% expected). This increases the chances for a rate hike at the December FOMC Meeting. 
• SPX tested the 20-day moving average but was rejected yesterday. As a result, a minor sell-off ensued and dropped through the 5 and 10-day moving averages. 
• Key support rests at 2120 on SPX today, and ideally for the bears, if it can break 2114 and close below this level, it would market a major breakthrough for them. 
• Otherwise, we just remain rangebound. 
• CBOE Market Volatility Index (VIX) rose for a third straight day, closing for once, near the highs of the day. VIX closed 7.9% higher at 15.36. 
• With a big earnings miss during the after hours by Amazon (AMZN), the Nasdaq (QQQ) is looking at a decent dip lower this morning. 
  
• United States Oil Fund (USO) continues to sport a nasty double top pattern that indicates it could see a drop of as much as 10% in the coming weeks. 
• The Russell Index (IWM) is in a clear breakdown at this point, following yesterday’s sell-off and is the weakest of all the indices at the moment. 

My Trades:

• Did not add any new trades yesterday. 
• Did not close out any trades yesterday. 
• Will look to add 1-2 new swing-trades to the portfolio today. 
• Currently 10% Long / 40% Short / 50% Cash

Chart for SPX: