It's Not Looking So Good for the Market

The stock market indices had a very bad day today. The indices plunged at the opening, bounced late morning, and continued to plunge in the afternoon. Only a late rally off the bottom of the channel, at the bottom of the fifth wave, caused the markets to close off the lows. Even in the last five minutes they backed off again.

Net on the day, the Dow was down 237.19 at 16,804.71, about 28 points off the low, but still pretty nasty. The S&P 500 was down 26.13 at 2002.28, 5 points off its low. The Nasdaq 100 was down 64.70 at 3984.74, about 12 points off the low, but also pretty nasty.

Advance-declines were 3 to 1 positive negative on the New York Stock Exchange, and 3 1/2 to 1 negative on Nasdaq. Up/down volume was 6 to 1 negative on New York, with total volume of over 4 billion shares. Nasdaq traded 2 1/4 billion shares, and had a 6 to 1 negative volume ratio.

TheTechTrader.com board was quite red today. Priceline.com Incorporated (PCLN) was down 20.92 to 1137.66, Google Inc. (GOOG) down 8.67 to 568.67, Apple Inc. (AAPL) down 1.56 to 99.19, Amazon.com Inc. (AMZN) 5.10 to 317.34, Netflix, Inc. (NFLX) 12.38 to 438.80.

Pharmacyclics Inc. (PCYC) lost 1.57 to 115.86, Tesla Motors, Inc. (TSLA) gave back another 2.44 to 249.24, and Vipshop Holdings Limited (VIPS) dropped 5.64 to 183.37.

Solars had another weak session. SolarCity Corporation (SCTY) was down 3.13 to 56.47, JinkoSolar Holding Co. (JKS) down 1.51 TO 25.98, First Solar, Inc. (FSLR) down 2.10 to 63.71, and Canadian Solar Inc. (CSIQ) 1.58 to 34.19.

Arista Networks, Inc. (ANET) dropped 4.27 to 84.06, Ambarella, Inc. (AMBA) fell another 2.16 to 41.51, GoPro, Inc. (GPRO) gave back 1.90 to 91.80, and FireEye, Inc. (FEYE) 1.80 to 28.76.

On the plus side, Tekmira Pharmaceuticals Corp. (TKMR) has a big run-up, up 3.85 to 24.99, on 28.5 million shares, and was 28.85 pre-market Rackspace Hosting, Inc. (RAX) managed to move a fraction, up 91 cents to 33.45.

Stepping back and reviewing the hourly chart patterns, the indices gapped down with opening gaps lower, cracked support early and plunged early, rallied to midmorning, and then rolled over again for the rest of the day, until the last hour when they rallied back on short covering off of the bottom of the channel from key, oversold intraday conditions.

However, I'm not sure the bottom has been reached, but we may see a temporary bounce tomorrow.

Good Trading!

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