Pre-market update:

• Asian markets traded 1.8% lower.
• European markets are trading 0.9% lower.
  
• US futures are trading 0.3% lower ahead of the market open. 
  

Economic reports due out (all times are eastern): ICSC-Goldman Store Sales (7:45), Housing Starts (8:30), Redbook (8:55), PMI Manufacturing Index Flash (9:45)

Technical Outlook (SPX):

• SPX broke the 50-day moving average yesterday in a decisive manner. 
• There are hints that the dip buyers are starting to try and buy the dips as we saw yesterday when there was a 20+ point rally off of the lows of the day. 
• On the flip side, the bears are still shorting the rips as the market opened 20 points higher, before giving it all up and finishing in the red. 
• Next test for SPX is the 200-day moving average at 1946 – last time it gave little to no fight (October). 
• Volume continues to increase on the indices as the SPX has now dropped 5 out of the last 6 days. 
• T2108 drops another 17% down to 29.74. In December 2013 this level was reached before immediately forming a bottom and ripping higher into month’s close. 
• Oddly enough, VIX closes LOWER on the day at 20.42, dropping 3.1%. 
• Apple (AAPL) has now pulled back 10% from its all-time highs. 
• SPX still forming lower-lows and lower-highs. Needs to break 2002 if this is to change. 
• FOMC Statement comes out tomorrow. 
• The market doesn’t care about the economy nor earnings. That is not what is driving it. The market only cares about what the Fed is doing to keep equities propped up. 

My Trades:

• Covered BBRY yesterday at 9.42 for a 6.1% gain.
• Closed AAPL at 109.29 for a 3% loss. 
• Added one new position yesterday. 
• Will consider adding 1-2 new positions today. 
• Remain long SDS at 22.55.
• Remain short JNPR at 21.29, TEVA at 56.37, GM at 31.86.
• 50% Short / 50% cash. 
• Join me each day for all my real-time trades and alerts in the SharePlanner Splash Zone

Chart for SPX: