Carnage On The Street As Fears Over A China Economic Slump Causes Massive Selloff...DJIA Opened With A 1K Drop...Investors See Wild Ride...Steepest Loss In 4 Years...Crude Dips Below $38 A Barrell...

All nine sectors moved lower on Monday…with XLE losing the most at 5.31% and XLK losing the least at 3.59%.

Breadth weakened as decliners led advancers 22.50 to 1 on the NYSE and 7.73 to 1 on the NASDAQ.

Monday – weakened, decliners led

Friday – weakened, decliners led

Thursday – weakened, decliners led

Wednesday – weakened, decliners led

Tuesday – weakened, decliners led

SPY down 8.08 at 189.55 on 503.4 million shares, huge volume

VIX up 12.71 at 40.74…

TNX down .57 at 19.97…

TLT down .06 at 126.34…

XLF down .99 at 22.65…

AAPL down 2.64 at 103.12 on 161.8 million shares, above average volume

FB down 3.97 at 82.09 on 83.5 million shares, above average volume

Technical Commentary:

SPY -4.09%, IWM -3.90%, QQQ -3.85%, DIA -3.67%.

Trade with the trend of the chart you are trading and continue to move your profit protection stops.  Continue to follow your rules.

 The SPX Market Forecast is turned down at 21.

__________________

Setups

Horizontal Breakout:  

Diagonal Breakout:

Bull Flag:  W,

Potential Bullish Divergence:  

Gap Up: 

Gap Down: 

Bear Flag:

At Support: BAC, ETSY, EXPE, SOHU, ASNA, MFRM, VSLR,

C- Pattern: 

Moves

New Highs:  

H Breakout: VXX,

D Breakout:

Bull Flag Bounce:

MACD Divergence Bounce: GMCR, SWKS,

Bounce: CREE, DDD, GIMO, SFUN, SPWR, XONE,

Gap Up: VXX,

Gap Down: C, CTRP, ETFC, EXPE, FAS, GME, MS, NTES, QIHU, SLCA, SOHU, STI, SVXY, TPX, AA, EMC, IBM, KNDI, KWEB, YNDX, ADBE, ADSK, COST, YHOO,

C- Pattern:                                                          

Bear Flag:  

Support Break: IWM, QQQ, SPY, AIG, AMBA, AXTA, BX, C, CCL, CRM, CYBR, DAL, FAS, FSLR, HOG, JCP, MS, NCLH, NKE, RCL, SHAK, SLCA, SPLK, SVXY, TPX, TSL, V, X, BBRY, CAR, CIEN, HABT, JASO, JNPR, MTW, RAX, UAL, VJET, YY, ZNGA, AAL, ADBE, ADSK, CELG, CMCSA, COST, EA, EBAY, ESRX, FB, MNST, MSFT, NFLX, PCLN, ROST, SBUX, STX, WBA, WDC, XLNX,

______________________

Watch List Stocks

Leading stocks > +2% on Monday: VXX, SCTY, SEDG, SWKS, MBLY

                                                       

Lagging stocks < -2.0% included: A majority of stocks…

3 of 100 NDX stocks closed higher on Monday.

Leading NDX 100 stocks included: GMCR, SWKS, WFM

Lagging NDX stocks included: All but 3 NDX stocks.

NDX Stocks to Watch on Monday

Moving Above 30 DMA =

Moving Below 30 DMA = All stocks now below their 30 DMA.

6-month Intermediate Term Market Trend: Down

3-day Short Term Market Trend: Down