Day Trading Course - S&P takes the dive again, but will it really go?

The S&P sold off again today, to touch to the 1825.00 area of support before closing.   I think tomorrows trading could be a key indicator to see if this move could continue.  If the market can give us a close tomorrow below the 1825.00 area then we could see this continue down to touch the 1800 area net week.   I took on my short position last week back at 1879.50, with an original target of 1840.00 on the move.  With the move we saw to that area, I took out a portion of my position at the 1859.00 area to capture a nice 20 points, but left the rest of that position on for the possibillity of a continuation further.  That choice seems to be paying nicely with today's sell off but will tell me more with where we see the market go tomorrow. A great target now is the 1800.00 area of support as that is the level of the long term bullish trend line on a daily and weekly chart.  Should price move to touch that area in the net couple trading days or so then I would look for the bounce there to start a possible reversal and test back up again.   Should we break that area of support at the 1800 level then we could be looking at this market perhaps making a longer term reversal going into the summer months.  With May upon us in a few short weeks, this could be the set up for the seasonal summer reversal to take us into the fall trading again.   Trade what you see, I'll see you at the starting line.

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