This market is oversold. Very oversold by some measures. But yet it feels like it's gasping for air right here. The Transports have lead the way down, getting pummeled after double topping near last years breakdown point and the 200 week EMA. The Transports also broke their uptrend line from the March lows, perhaps an omen for what lies ahead for the broad market indexes.

Tonight I feel like the odds of a sharp, crash like collapse is higher than it's been in some time. Market collapses come from oversold conditions with some event being the trigger. As the market is trapped in a bearish ascending wedge, it may not take much to do the trick.  If and when that breaks it could lead to much heavier technical selling. 

So the next few days are critical, and potentially dangerous.

On another note, I've mentioned more than once that I thought before all of this was over that CNBC would no longer be around.  Tim Lee was kind enough to send me a link to an article pertaining to CNBC's viewership numbers. It confirms that the journey to oblivion is well underway. Thanks Tim.


http://www.zerohedge.com/article/cnbc-viewership-plunges-50-october