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Monday's action in the US market was quite negative, suggesting further selling is likely this week. The key 38.2% support for the S&P is at 1010, while the broad EAFE Index (EFA) looks ready to test the 50% support at $45. There is additional chart support in the $43-$44 area. The MSCI Emerging Markets index (EEM) has 38.2% support just below $35 with the 50% support at $32. Both markets are oversold but show no signs yet of a bottom.
Tom Aspray, professional trader and analyst, serves as video content editor for MoneyShow.com. The views expressed here are his own.
