It was an ugly day from the get go and didn't get much better as the session wore on.
M3 issued a special alert Update at 7:10 AM PST this morning showing the abrupt reversal in momentum from Friday'c close. XIV was stopped out at 43.82 based on Friday's posted stop.
The market swoon was supposedly based on China's announcement of slower growth than expected and no intention to apply a stimulus package.
XLE (oil), XRT (retail) and EEM (emerging markets) were particularly hard hit.
BABA, the new 800 lb gorilla in the room dropped a few points, perhaps based on reports that YHOO and BABA insiders had devested themselves of a few billion $ in shares greater than had been previously reported.
YHOO also dropped almost 5% at one pointed although recovered somewhat at the close.
A divergence in the SPY price TrendX and the SPY pivot TrendX was noted in the pre-close update of M3 so it will be interesting to see if we get a little reaction bounce tomorrow.