After a good intraday recovery yesterday and a big bounce in Japan last night, many market players were looking for further upside today. But continued worries about nuclear power plants kept the market in disarray. It didn't help that AAPL and IBM were downgraded and that there was talk about supply-chain issues for technology stocks due to the disruption in Japan.
The end result of all this uncertainty was some very choppy and random action that was difficult to trade. The market closed with just coal and gold showing some very minor gains while oil services, banks, retail and steel struggled.
Volume was quite heavy today, making for another day of technical distribution. The best hope for the bulls is that the market is oversold enough for some sort of bounce. But, this market has broken down and we have to keep in mind that the bigger picture is now quite negative. Any oversold bounce should be regarded as just that.