Time to Test Support

Before we get to charts, I want to thank Tom Lydon! Yesterday the market kept crepping higher and I keep holding my SDS and adding to it. My stop was nearing when on CNBC I hear this

That is right yesterday as oil breaks 69,( you can watch oil tank on the ticker while he is talking) this guy is recommending USO for an oil play (By the way dummy, USO doesn't track oil), then he recommends UDN(Bear dollar) and GLD(Gold). Once I saw someone on CNBC recommending UDN. I knew it was all over.
CONGRATS!!!!!! YOU TOP TICKED ALL 3 OF THOSE SECTORS!!!!

Now to the charts, while the bears had their day today. The bulls may have one last fight left in them.

On the 60 Min chart, the market is oversold and may be turning up. There is some potential for a bounce, but resistance is at 1054-1060.

On the daily chart, SPX broke below the top it formed and has resistance at 1060-1080. While SPX did close above 1050, it remains below 1054 which is bearish. Now the indicators are starting to rolling over, MACD looks be dropping, and the divergence has confirm the possible top. Plus STOCH is still overbought even though the market has declined. Now SPX nears it's long term trendline. This will be a key area to watch.

On the longer-term charts SPX weekly broke below its 1054 89 week ema.

Oil can be a nice foreshadow of what will happen to SPX if it breaks it's up trendline.

Other key sectors are nearing support levels that if broken could start some strong selling or could be a strong bounce point.

IYR- watch for a break of the 20EMA and nearing support at 41.

XLE- is nearing support at 52.00.

XHB- is one sector that broke support and it's 21 EMA. It's next support is at 14.50