The FED's announcement of another $10 billion/month POMO reduction knocked the wind out of the markets today...the only good news being that we closed above the lows. Utilities (XLU) are showing resilience, (see VEGA model below), which is a modest cause for optimism as the end of the month approaches, although it's not at all clear that the typical last day of the month rally will ensue.
SPY is now at 1775, having solidly broken the 1800 line in the sand, and, as can be seen in the TrendX chart to the right>>>>>>>...the next support level is not clear.
Just to put things in perspective, here's the daily charts of M3 and Small World followed by the intraday charts of M3 and VEGA....
