It should not be a surprise that most of the selling pressure in Tuesday's market came in those names which have been the recent big winners.
While we may see some bargain hunters come in, the market is still quite vulnerable. The increasingly poor statistics we have seen throughout this rally are still evident. Just as the market needed to run its course on the upside, it will need to do so on the downside as well.
The very first thing we need to see is a shift in this all-too-bullish sentiment. When and if that happens, we may find stocks holding on the downside, but until then, I will remain cautious.
New Highs and New Lows
Cumulative Advance/Decline Line
Helene Meisler, based in Singapore, writes a technical analysis column on the U.S. equity markets on Tuesdays and Fridays, and updates her charts daily on TheStreet.com. Meisler trained at several Wall Street firms, including Goldman Sachs and Cowen, and has worked with the equity trading department at Cargill. At time of publication, she held no positions in any securities mentioned in this column, although holdings can change at any time. Under no circumstances does the information in this column represent a recommendation to buy or sell stocks. She appreciates your feedback at