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INTC weakness puts SOX rally in jeopardy

gm-  Global equities mixed this am ahead of Housing Starts for Sept w/ Weekly jobless claims at 830 with Weekly DOE data for Crude at 1030 which rose yesterday on huge API invent draws and has started to move back higher into expiration-   Overall, S&P pulled back overnight coinciding with the Yen starting to lift again around Midnight, and both USDJPY and S&P fell off from 12-3 am, with S&P undercutting yesterday's lows in the process before attempting a mild rebound-   S&P at present lies in no-man's land after forming another minor TRIANGLE pattern after its breakdown last week, and trends remain near-term bearish with a better than avg likelihood of a test of 2107 lows or lower into next week-  KEY for today is 2126 and under would lead to 2116 area at Monday's lows-  Under that level would bring about acceleration and hedging/shorts would be required -  INTC data last night caused  a fairly severe drop in its stock by more than $2, or 4+%, violating a near-term technical support, and putting the entire 4-5 month uptrend of SOX in jeopardy so 790 will be key for SOX to hold on weakness- so this stock will be key to the action in the semis and also Technology which at 20% of the S&P, is extremely important-  Thus far, MS, BBT, SVU, DOV, USB, HAL have all beaten bottom line estimates this am, but none of these have served to lift the market all that much, while RAI, STJ whiffed.    US Dollar meanwhile has begun to pullback a bit which is aiding commodities such as the Prec metals and Energy, (outside of Natty gas -1.6%) though Softs remain lower-   Overall, Equity trend remains mixed on a 2-3 day basis but lower from last week and lower from September with breadth and momentum continuing to paint a more bearish than bullish picture along with actual technical structure having worsened over the last couple days-  For a bullish stance, it will require a move back up over 2150, above last Friday highs 2143, and for now, right to be quite selective w/ longs-  early advancing issues- BANC, OMER, GNC, while on downside- SGMO, IMPV, INTC, ASND, NKTR-  Let me know if you have any questions