1300 proved to be a massive level of resistance. Today so far a 1.26% drop in the S&P500, could have devastating consequences. Keep your eyes on the 20 MA and how much support it provides to the price action. If the 20 MA breaks decisively this could be the turning point.
Additional support for this analysis is the Slow Stoch, as it now is showing a bearish divergence. Therefore, momentum to the upside is fading. The volume today will be a tell tale sign of things to come. If this move remains > 1% on strong volume, be cautious on the long side.
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