Monkey Business

The tight uptrend channel was finally broken today as the market filled Monday's gap and then found support at Friday's afternoon lows:

Like most trading days of late, most of the interesting action occurred within the first 30 minutes of trading. From the start, small caps were under pressure again as the Direxion Small Cap Bear 3x (TZA) jumped from the opening bell but trading soon leveled off as pre-options expiration trading took over. With a little bit of sideways activity tomorrow I'm sure we'll probably start hearing chatter of yet another head and shoulders pattern which you can see starting to form in the S&P with today's trade.

Read more of my after-hours report.