OVERVIEW: It wasn’t a pretty day for the bulls today as the major indices reversed early gains and finished well into the red. The Nasdaq 100 and The Nasdaq Composite who had been leading the charge to the upside were the biggest losers in todays session. Here is an excerpt from this past weekends Weekly Market Prep in regards to the S&P 500 and Nasdaq Composite…. “the index has now rallied over 5% since last Fridays lows and solidly recaptured its 50 day EMA. This, coupled with some nearby resistance, may signal some consolidation ahead”… “the index has come a long way in a short time, so perhaps some consolidation is due in the short term.” So, its not a big surprise here in regards to the pullback today however, although volume was not particularly heavy, the S&P 500 did register its 5th distribution day in the last 15 sessions. Additionally, The Nasdaq 100 decline came on a big increase in volume which marked the heaviest trade over the last eight sessions. We have been harping a bit about the lack of volume on up days so todays big volume increase in the Nasdaq 100 was not good to see. We must remember its only a day of trading and markets do have down days, but we must continue to put the pieces of the market puzzle together so we are always prepared and never caught off guard should sentiment change, let’s see what tomorrow brings. Before we wrap up our individual positions, here is an updated look at the S&P 500, which shows some hesitation again at the 78.6% retracement level of the correction, as well as a look at the Nasdaq 100.