As the way things stand right now, the market sold off so quickly, there's bound to be those who like catching falling knives, stepping in to provide an end of day bounce. However, should this not materialize to any significant effect, chances are Monday morning margin calls will go out and continued selling would be a high probability.
DIA bearish engulfing candle, this is why gaps up in the a.m can't always be assumed to be a good thing. there can be no bearish engulfing candle-here a signal of reversal confirmation, without a gap up in the a.m.
DIA intraday waterfall is likely to attract the knife catchers.
IWM with 3 lower lows.
IWM breaking support, this is why I continually remind you not to put in stops with your brokers unless you have no other choice and keep them away from obvious stop levels like this intraday support trendline.
QQQ bearish engulfing daily candlestick pattern.
Q's triggering the same limit/stop orders on increased volume.
SPY bearish engulfing candle and the 3rd lower low.
And again, stops/limits hit on the break of obvious support.
Remember to pay attention to the close as it could very well trigger a wave of Monday morning margin calls which will increase supply and downside movement.
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