Market Analysis for Mar 22nd, 2004

Today is the Monday downside follow-through to Friday's disappointing inability in the indexes to hurdle key levels of 1435-36 in the E-mini June Nasdaq and 1127 in the E-mini June S&P 1127. Those levels failed late in the day on Friday possibly from a combination of quadruple witching and the disappointment in the Pakistani border conflict not producing Al Qaeda's Number 2 man. In any case, the market failed to take out critical resistance at 1127 and 1436, and the micro bulls gave up at that point, and since then the indices have stair-stepped down to new lows for the move that started on the Nasdaq side on January 20. Today's low so far is 1373 , in the E-mini Nasdaq and 1091