The S&P is turning bearish. This is a market I have been watching ever since it failed to trade above the prior swing high (1337.75 posted on February 18, 2011) on the April 5th test. The market rolled over and formed a bearish reaction swing between April 13, 2011 and April 15, 2011. Today’s price action, triggered by downgraded outlooked, has confirmed the bearish reaction swing and portends more downside pressure on the market. I look to enter short side on a corrective bounce.
