Markets were harpooned Thursday as benchmarks slid in heavy volume. The Nasdaq had its second largest daily decline of the year losing 2.28%. Todays volume was the third largest total thus far in 2013, just behind the huge volume outside day 5/22, showing bearish outside days must be paid attention to. The tech index also lost its 50 day SMA today for the first time since 4/17. The S&P 500 was down 2.5% Thursday, and it decisively took out its 50 day SMA, and the round 1600 level all in one swoon, proving technical’s do matter. No sector was immune from the onslaught today, as builders took the biggest hit. Today to me did not really even feel panicky, that’s the scary thing. The descent seemed orderly, oddly enough. It had the raw feeling that complacency of buying dips had run its course. High yield plays continued to be hit today, best seen in PM. The name was smoked, pun intended, more than 6.5% the last 2 days, burning through its 200 day today. There were few bright spots today, but names like RRC,put in lukewarm action Thursday. RRC bounced off its 50 day SMA to close near its upper end of its daily range.
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