S&P 500 Morning Analysis 11/2/09

After rallying up to the declining 5DMA on Thursday, the market gave up all of those gains and then some. The trendline from the August and Sept lows was broken along with the bigger trendline from the March lows. Currently the SPY is trading at 104.30 which is important because the Wednesday low was 104.35, if that area acts as resistance we could see lower levels tested near 103 and then the October low of 101.99.