Odds now clearly favor the short side in the intermediate-term, but we could easily see a decent relief rally before moving much lower in the short-term.

The major indices will eventually find areas of price support and stabilize, but it's dangerous to try to pick a bottom when the broad market has not even given any signals that the heavy selling is finished.

Deron Wagner's short-term bias on the broad market remains moderately bearish, while his intermediate-term bias is neutral.

The major indices have entered into a choppy, indecisive range over the past week. Below current prices, clear support for the major indices is at the intraday lows of July 20.

Deron Wagner is going to focus on individual sectors with relative strength or weakness, rather than the more common and less predictable broad-based ETFs.

It looks as though we may be headed for a repeat of how Tuesday's after-hours weakness carried into Wednesday morning.

The late-day reversal on Wednesday and closing prices near their intraday highs calls into question the true amount of institutional selling that took place.

Deron Wagner is confident that the market will quickly show its hand on which direction the market will move today.

The reaction to the onslaught of corporate earnings reports on tap over the next week will be the biggest determinant of whether or not last week's rally will hold up.