Already before the open the SPX made a new low, sold off and made a bottom 10 points lower.
From there the market reversed sharply and is currently there where it closed yesterday.
![](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEggBpf-IV12uZbrkyg7lt3ABC_A6ta4nVApkcMcBcOe1hs6pfOZdJdvatEc9S1tYG1FwhfYEnA8CrdnN0D7DoH8348eP0rLthnpCk4UJ1y4ntiydYb8bPJPub5YCrTOPmiRBRyzkckwXsY/s320/s&p500mediumterm05042010a.jpg)
Updated chart:
![](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhTdncCh2sAOeNukegqQt-XieGlKsiwvd4QQn0OXDfGgqeBnluwy4CGvUhOH1s_YtVqOf1y0RrcW66Xs1D9AUHjm-oRPKWI6EDbsJz8xjU1mLyWUvtsZrHxS1t99rhLlBi_dGeRpxh9xcM/s320/s&p500shortterm05052010a.jpg)
Today's sell-off in the morning should have completed wave 3. The important level to watch now is 1181.8, the wave 1 low. If we rally above that level all what we've seen since 1220 may have been only another A-B-C correction.