Breaking down of this week's trading range

[caption id="attachment_415" align="aligncenter" width="500" caption="SPY"][SPY][][/caption]

After a couple of weeks of wild ups and downs, we've been stuck in a trading range this week on low volume (relatively low based on recent weeks, but about average on regular terms). But seeing today's end-of-day weakness (testing low on huge volume), I expect the market to break down tomorrow morning. However, what's more important is where the bulk of the price will go, so watch the volume tomorrow.

This is like the calm before, yet another, storm. Not really much for me to do now but just wait and see. If we can hold the 940 support level (high of 10/10) on the S&P this week, or scrape it on low volume, then that would be a very good sign.

[SPY]: http://traderpau.files.wordpress.com/2008/10/2008-10-21-spy.png