Pressure…
S&Ps locked limit in the late morning and reopened at 1097. At these low levels the questions remains, when will the pressure ease? Keep in mind that we haven’t seen these levels since late 1998.
Earlier, the selling pressure mounted between 1124 and 1126. The market had difficult absorbing all the offers, and we were propelled downward. Deterioration in the Dow is also contributing to the downside move.
The NASDAQ, which was the relatively stronger market, has also been trading lower and approaching 1600.
We still need stabilization in this market before we can even hope for a rally to get the Bulls out of this mess. Right now, that looks pretty questionable.