It's down after-hours, low 2704 as I write this at 10:04 pm EST
Every rally yesterday and today were sold and the dam burst this afternoon when S&P 27342 was breached.
Looks like we will see &P 2500 before 2800.
BARRON'S had a good explanation for the selling:
"Let's chalk it up to sentiment. After the market dropped nearly 300 points yesterday, I quipped that corrections don't end as easily as this one appeared to. And I stand by that. I asked Instinet's Frank Cappelleri what he thought was going on, and he says we're seeing clusters of large, daily moves, something that had been absent for a long while. And it doesn't matter whether the moves are up or down, the big moves signal both emotion and volatility. "Until that changes, I would expect the price action to remain acute," Cappelleri says. "From an intraday viewpoint, this means we should expect both late-day surges or purges to persist."
But what if it's something more than that? Sundial Capital Research's Jason Goepfert notes that this is the first time since December 2015 that the S&P 500 has gained 1% or more for two straight days only to drop 1% or more on each of the next two days. That doesn't happen very often, just 23 times since 1928. Here's the rub: "All but 3 of them occurred during bear markets," Goepfert writes. "Because it tended to occur in downtrends, future returns were poor, with declines over the next 30 days 65% of the time averaging -1.9%," Goepfert writes.
Don't say we didn't warn you."
https://www.barrons....735?mod=hp_RTA
