Supply

A lot of overhead supply in this market. It seems we gear up for a "healthy" bounce only to get caught up in thickets of supply. {updated chart}
Though that Euro issue just doesn't seem to be going away...{updated chart}
However, bottoms don't happen in a day. Currently there is a potential inverse Head & Shoulders pattern here...{updated chart}
looking for buying interest between here and 1060. Any lower and I would suspect a move beyond the recent lows.
Looking back at February's sell off you can see how much energy goes into a bottoming process.
On the way down, rallies are held cautiously and selloffs are taken aggressively, continuing a lower low/lower high profile.On the way up, rallies are held cautiously and selloffs taken aggressively, causing a shift to higher highs/higher lows. In the process, consolidation ranges build up (acceptance of price) until a break out/down occurs.