The S&P 500 index closed below its 50 day simple moving average today, while the NASDAQ closed just above it. Breadth was poor on both, relative strength is moving downward, and short term they are oversold. We might be looking for a bounce on Thursday, but Japan, returning from a holiday, is selling off very hard, and Europe continues to look fragile.
The uptrends on the primary moving averages remain intact, and the correction in January – February was deeper than this one (so far). Short term correction and buying opportunity, or major correction and time to sell? The next two days will tell us quite a bit.