Interesting Week

So we made a newer low today relative to the "flash crash" couple of weeks ago and that's another bullet for the bearish case. We got a solid close below the 200 MA today and today's action was on the panicky side early in the morning and in the last 10 minutes of trading. A lot of people are betting on a bounce given the oversold levels but most Elliott Wave practitioners are calling for a fifth wave down. So there might still a chance of seeing 1044 this coming week as in Monday. We ended the day in a 3 wave of something and probably this particular wave will take us to the 200 MA where it will act as resistance. I personally will be adding short positions there and stopping them at any moments notice if the 200 MA is recaptured.

There are a few levels to watch, perfect for short entries or long depending on which side you find yourself in.

1102-1108 as a stop for shorts or as a base for a break out. I would trade short only if under 1102, trade long only if over 1108.

1122 as a stop for shorts or profit taking

And the levels below..

Levels to watch are:

1108 Short below it or use it as a stop for portion A -34 EMA Weekly
1142 Long above it for portion A -13 EMA Weekly
Trend is still up on the weekly 13/34

1170 Long above it on portion B -50 day MA
1102 Short below it or use as secondary stop for long position -200 MA
Trend is still up on the MA