March Lows in Play

March Lows in Play

8:00am (EST)

The bulls were looking good for the first half of Wednesday's action as upper resistance was tested. However, the second half fade to session lows led to a mixed session with the broader market pulling back but Tech and the small-caps closing slightly higher. The bears are still on the verge of causing chaos as the blue-chips fell below their late March intraday low.

The Dow tumbled 118 points, or 0.6%, to finish at 20,404. The blue-chips made a run to 20,546 with resistance at 20,600-20,650 easily holding. The fade to a session low of 20,379 into the closing bell split support at 20,400-20,350. The close below the previous March low of 20,412 was a bearish development and gets 20,200-20,000 in play if 20,350 cracks.

The S&P 500 slipped 4 points, or 0.2%, to end at 2,338. The index traded to a high of 2,352 but failed lower resistance at 2,360-2,370 shortly after the open. I mentioned backup support at 2,325-2,300 continues to a be a possibility if 2,335 fails to hold and was yesterday's low.

The Nasdaq advanced 13 points, or 0.2%, to settle at 5,863. Tech made a morning journey north of 5,894 to push upper resistance at 5,875-5,900 but levels that held despite the bulls holding court all session. Support is at 5,825-5,800 on another move below 5,850.

The Russell 2000 climbed 5 point, or 0.4%, to close just under 1,367. The small-caps also held positive territory throughout Wednesday with the high checking in at 1,376. Upper resistance at 1,370-1,375 and the 50/100-day moving averages were cleared but also levels the bulls couldn't nail down. Support is at 1,360-1,350.

The S&P 500 Volatility Index ($VIX, 14.93, up 0.51) cleared upper support at 13.50-12.50 after kissing 13.46 intraday. The late day surge and 10% rebound off the low tapped a high of 15.15. Resistance is at 17-17.

From desk to press, futures look like this: Dow (+6); S&P 500 (+1); Nasdaq 100 (+3).