I wanted to share with the readers my interpretations of today's developments, most notably the short-term technical ramifications of a downside break of 12,400 on the DJIA:

1.  The DJIA is already in a negative trend thanks to an ugly week and a half and is danger of another significant break at 12,400. This would be a double-bottom break that follows a triple-bottom break of 10 days ago. This pattern, (triple followed by a double) can lead to sharp, swift movements....in this case down.

2.  The odds are pretty good that this will in fact break to the downside since the Dow's trend is negative.

Do not chase stocks right now. Be patient and wait for a better setup. In doing so, you will greatly improve your risk / reward profile.