The S&P is trading near the lows for the day down -27 points to 1994 currently. The low extended to 1988.44 area. The low last week bottomed at 1992.44. The 38.2% of the move up from the October 15 low is at 1989.31. The 50% is at 1957.10. A move to the 50% would represent a -6.5% decline from the top. A -10% correction would target 1884 area. In October the plunge lower fell just short of 10% from the high to the low.
The 100 day MA is at 2006.12. The fall below is the 3rd fall below the MA in the last month of trading.This MA should be a risk defining level for shorts.
The activity in stocks over the last month has not been the most bullish. However, traders are used to buying dips. Money has to flow somewhere and as long as earnings can keep pace, the US is still an attraction on a relative basis. However, if the first half of the new year is an indication of things to come, get ready for a roller coaster ride.
S&P makes new 2015 lows.
