Markets reversed their early gains this morning and finished lower with the Russell 2000 closing down 1.63% near the lows of day. The S&P also lost 0.38% while the Nasdaq was relatively flat, posting a loss of 0.13%. The VIX however closed near lows as well with a loss of 1.78% at $17.08. After the market closed, there were reports of more attacks by the U.S. on Iran and Iran said that the U.S. broke the ceasefire agreement. This is sending markets lower after hours while oil is moving higher. Tomorrow morning markets will get the big jobs report where we will get April nonfarm payrolls and the unemployment rate.

Today the Nasdaq broke below its primary daily uptrend support, but it did rally back to close above it which gives it a failed breakdown and starts a new uptrend. However, it wasn't a strong finish and it will need to gap up significantly tomorrow for these uptrends to act as support. The first level to watch will be its new primary uptrend (white) at 25,965-25,970 which is about 0.6% away. After that, the retest from today's failed breakdown (green) will be at about 26,025 which is almost 0.9% away. It's last uptrend (teal) will be at about 26,070 which is just over 1% away. Price is currently below these levels (closed at 25,806 today), so they will all act as resistance unless the Nasdaq can gap above them. If it can gap or break above them, the last daily resistance would be from its primary uptrend again (white - top of the range) at 26,350.

On a pullback, the next support is at about 25,100 from its prior uptrend (purple). This is nearly 3% away so it's probably unlikely to actually reach that level tomorrow. Instead, it's likely that we just see a new trend get started, but we'll have to wai to see how the market closes tomorrow to determine where this new trend will be.

The S&P did not break through its primary uptrend resistance this morning at 7,390-7,395. It did however break through its prior uptrend support at 7,355 which invalidated it (see yesterday's update). So it doesn't start any new trends, but it does remove that prior uptrend. For now, it only has one resistance level to watch at 7,415-7,420 which is its primary uptrend (white) again.

On a pullback, its first support will be from its prior uptrend (yellow) at 7,322-7,323. If that doesn't hold, its next uptrend support will be at its primary uptrend again (white - bottom end of the range) at 7,270-7,275. If that doesn't hold either, its yellow uptrend comes back into play (bottom of the range) at about 7,215.

The Russell 2000 broke through its primary uptrend support but did close back over it, which technically gives it a failed breakdown to start a new uptrend. But, similar to the Nasdaq, it was a very weak finish and will require a gap up tomorrow to open back over these uptrends.

The first level to watch will be from its new primary uptrend (white) at 2,850 which is about 0.4% away from today's close of 2,839. After that, it next uptrend (yellow) from today's failed breakdown will be at about 2,858 which is almost 0.7% away. Unless it can gap over these tomorrow, they will act as resistances on a rally attempt. If it can get that gap or break above them, then the next resistance would be at 2,925 from its primary uptrend (top of the range).

On a pullback, the only support for now is from its prior downtrend (purple) at 2,740-2,742. This is very far - about 3.5% away. It may not be able to actually get down there tomorrow even with a market sell-off. The more likely scenario is that it simply starts a new trend, but just like with the Nasdaq we will have to wait to see how it closes to determine where this new trend will be.