Equities market finally makes swinging bears happy, just allow for opex week movements

Those who, like me, saw serious levels of resistance where the markets were stalling out the past two weeks were happy today being positioned for the drop today. (By the way, I don't consider myself a bear, just one who works to be on the right side of the trade!). But there are reasons to think we may see a pushback upward before we get to Friday. So how you treat that possibility depends on your trading vehicle (stocks, options, futures), timeframe (swing, position, daytrading, scalping?) and style. Did the SPX get low enough at the end of the afternoon to support a bounce? Perhaps, but seeing a number like 977 - or even better, 972 - would give more confidence. It will be interesting if we can get enough of a bounce to test the 990/992 Fibonacci/pivot level. What's also interesting is that there's supposed to be a cyclic low on Friday, but as Tony Caldaro pointed out there's a Fed-speak scheduled for that day too (nice opex touch, eh?!).

Projection levels for the drop have been given and include 962, perhaps 950, and that 940-ish area where there's chart price support. It won't be surprising if the level turns out to coincide around a technical support such as a moving average or the lower Bollinger Band.

What might be surprising is if this turns out to be more than a moderate pullback. It's a reason we'll keep watching not only the indicators, which naturally have rolled down, but also wave count as this unfolds a bit more.

The futures are up slightly but would have to exceed today's mid-day range in order to signal some ooomph from here. (Not sure ooomph is a technical term but you get the idea.)

The dollar moved well, even if not providing full confirmation (but showing promise for a bullish trap door). Meanwhile the VIX made a nice move too. So far, so good ....! Update PS - I'm adding below a daily chart of UUP. For KI$$ traders, this is what a bullish trap door pattern looks like, with bullish volumes.