In our recent blog post that featured the Nasdaq 100 / ENQ, we suggested a close below 2701 (basis March futures) would be a sell signal. The Naz came very close to that today. It will now take a close above 2738 to restore any immediate bullish outlook. We also suggested that if the Naz broke to the downside and began to accelerate (which is a strong possibility if it closes below 2701), that it would probably be a “tell” for a top in the other indices. There is little structural support for the ENQ until 2665 – 2636 and that area could be seen very quickly unless the ENQ makes a stand very near Monday’s day session close.

The S&P (basis cash) closed in an HVN that is a potential area of support. Because the January trade was so vertical, there is decreasing structural support below 1492 until 1470 – 1467.