The stock market indices certainly suffered a downside, follow-through today, and a sharp one. The indices plunged early on and kept on going. At midmorning they reached an important low near 4180 Nasdaq 100 and 1991 S&P 500. They traveled into midday, came back in the afternoon, retested the lows, held it, and in the last half hour they bounced a pretty significant one, but I’m not sure what that means. The bottom line is they closed sharply lower.

Net on the day, the Dow was down 260.51 at 17,140.24, about 75 points off the low. The S&P 500 was down 36.87 at 2000.54, 9 points off its low. The Nasdaq 100 was down 84.65 at 4201.05, 22 points off its low.

Advance-declines were 5 to 2 negative on the New York Stock Exchange, and almost 6 to 1 negative on the Nasdaq. Up/down volume was 7 to 1 negative on New York, total volume of over 5 billion shares traded. The Nasdaq traded 200 million shares up and 2.4 billion shares and had a 12 to 1 negative volume ratio.

TheTechTrader.com board was all red today, except for Tesla Motors, Inc. (TSLA), which had a big rally, up 5.40 to 198.55, and little Vuzix Corporation (VUZI), up just 9 cents to 5.85.

Leading the way to the downside, Priceline Inc. (PCLN) has lost almost 200 points in the last couple days, and today it was down another 46.09 points to 1186.05, Google Inc. (GOOG) down 6.97 to 668.26, Apple Inc. (AAPL) down 1.36 to 92.04, Amazon.com Inc. (AMZN) 7.60 to 691.36, and Netflix, Inc. (NFLX) 3.11 to 85.33.

Baidu, Inc. (BIDU) lost 2.20 to 156.92, Facebook, Inc. (FB) dropped 3.11 to 108.97, and First Solar, Inc. (FSLR) gave back another 1.79 to 44.23. Microsoft Corporation (MSFT) stair-stepped its way day 1.40 to 48.43, and Intel Corportation (INTC) kept its loss under a point, down 83 cents to 30.72.

Other stocks of note included Juno Therapeutics Inc. (JUNO), down 3.02 to 37.43, Universal Display Corp. (OLED) down 2.36 to 63.03, were among many, many other losers today.

The Direxion Daily S&P Biotech Bull 3X ETF (LABU) dropped 3.21 to 22.24.

Checking TheTechTrader.com percent-gain leaderboard, Valmie Resources, Inc. (VMRI) popped 92 cents to 2.65, or 53%, on 2.1 million shares. Akers Biosciences Inc. (AKER) bounced 63 cents to 2.55 or 33%, on 2.4 million shares. Zedge, Inc. (ZDGE), a recent IPO, climbed 72 cents to 4.81, or 17.6%.

GW Pharmaceuticals (GWPH), on positive drug news, ran to 93.70, before it pulled back and closed up 5.18 to 8849,

The key to the trading today was to buy ultra-shorts.

The Direxion Daily S&P Biotech Bear 3X ETF (LABD) jumped 5.49 to 48.39, or 13%, on 1.9 million shares.

The Direxion Daily Small Cap Bear 3X ETF (TZA) gained 3.83 to 42.92, or 10%, on 12.8 million shares. The Direxion Daily Energy Bear 3X ETF (ERY) closed up 1.40 to 17.70, on 8 1/2%. Direxion Daily Financial Bear 3X ETF (FAZ) climbed 3.12 to 45.35, or 7%, on 5.7 million shares. VelocityShares 3x Long Natural Gas ETN (UGAZ) advanced 2.70 to 39.60, or 7%, on 2.3 million shares.

Stepping back and reviewing the hourly chart patterns, the indices gapped down, went sharply lower in the morning, bounced by midday, pulled back late in the day to retest, and then bounced at the end.

Let’s see what happens tomorrow.

Good Trading!

Harry

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Mr. Boxer's commentaries and index analysis represent his own opinions and should not be relied upon for purposes of effecting securities transactions or other investing strategies, nor should they be construed as an offer or solicitation of an offer to sell or buy any security. You should not interpret Mr. Boxer's opinions as constituting investment advice. Trades mentioned on the site are hypothetical, not actual, positions.

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