Stock Indices Trade Below Near-Term Support As Expected

The Stock Indices today traded at or below important support. If the January 24 lows are going to be tested, it will be important to not trade much above those levels tomorrow. The market, after today, is oversold, so I have to expect a possible pause or bounce. If there is a lower low, monitor breadth carefully. It should signal a possible rotation back up. On the other hand, if there is a lower low tomorrow and breadth is still weak, expect price to possibly continue its slide.

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