With last week's move to the downside we now have to consider new swing lows for indices, with the ones established a couple of weeks ago unlikely to hold. For many of the indices, these new measured move targets align with earlier swing lows marking a convergence of opportunity. What we have is not an ideal shorting opportunity, but one where value players can pick up some value in the market.

Starting with the S&P, we have a pojection for a move to 5,120 that is also the swing low from last summer. This move will send stochastics below the mid-line, but may not reach an oversold state. However, the opportunity for a trading range to establish becomes greater and will help consolidate the gain from the 2023 swing low.

The Nasdaq is moving towards the April 2024 swing low that the 200-weekly MA is slowly approaching. Technicals are net bearish on the weekly time frame.

The Russell 2000 (IWM) is on a triple zig-zag with a measured move target of $176. Technicals are net bearish (and already oversold) so we are in a 'crash watch' situation for the index. Although I think we won't see any rapid decline, we do need to be aware of such vulnerability for the index.

Likewise, for the Dow Industrials, we are looking at a move back to the consolidation of early 2024.

While the Semiconductor Index (SOX) is about to reach its measured move target, which it just missed on Friday.

But it also broke a trendline on the weekly timeframe, opening up for a move to the 200-week MA.

Further losses are by no means guaranteed for indices, but the recent swing lows are under threat. Aggressive longs can look to buy the next test, but don't hang on if the lows are undercut.

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