10 day MA is gonna come in real close here, and it has kept the downtrend "intact" ever since mid June, and back to mid-May if you fudge a bit. Also interesting to note, that 1205 SPX was a fibonacci 78.6% ratio of the initial 300 point leg down from 1557 to 1257 ie.) 300 x .786 = 236 1441 ( May highs ) - 236 = 1205 Thus, subtracting 236 points from the May counter-trend rally high at 1441 gives you the object of 1205, which was hit yesterday +/- 4.5 pts. Also interesting to note, the sentiment numbers that came out today are at bear market extremes not seen since Oct. 2002. Investors Intelligence Bulls: 27.8% Investors Intelligence Bears: 48.9 Getting bullish for a size-able Bear market rally!
The top line is already broken. If you are short and it goes your way, you need to get out around 1235 - 1245 area. I am short also and hope they are not planing to check the 1300 this week,