Despite Bounce, Near Term Trend Remains Down

The late day bounce on rumors may gave bulls a small pick-me-up that may extend into today's session. The big however is the fact that the near term trend remains down, the 5-day average continues to slope lower and as such the path of least resistance remains down.

As we start off today, entry points are tough to find but we certainly wouldn't be buyers in this market. Short positions entered earlier this week should be maintained as the downtrend is very likely to regain its foothold sooner than later.

Outlook:

The rally attempt failed miserably and the bottom of this market is poised to fall out. A retest of January's lows seems likely at this point.