Without a doubt, today belonged to the bears but the move today was not surprising and if anything, long overdue. Hopefully the regular readers of this blog benefited from the repeated calls to be heavily in cash at the end of the day and did not suffer from too much losses today. The market closed just a tad below MA(50) today with no late day bounce forthcoming today. The S&P has been down four days in a row now, something that hasn't happened since November. The area from 1300-1315 is strong support for the bulls. If you are bullish, what you don't want to see is consolidation along the MA(50) level. Important moving averages should act as springboards not as a place of consolidation.
With today's market action, the NASDAQ and NYSE McClellan Oscillators are already approaching oversold levels. Oversold can very easily become very oversold but be careful initiating new shorts here.
Take care and good luck!