More Pressing Matters Than GE

Regarding General Electric's post earnings bounce from its downtrodden positions on the long-term timeframes, I continue to key off the $14 level. If bulls allow GE to dip back under that level then I suspect the current relief rally will prove ephemeral and uniquely demoralizing for value players seeking to bag the proverbial elephant. 

But instead of harping on GE, my focus is naturally on the broad market selloff to apparently close this week out, especially in light of the strength earlier in the week. 

Apple's weakness is glaring and almost assuredly one of the causes for many chips taking it on the chip, especially the likes of SWKS. However, AAPL also reports next week, on May 1st, alongside plenty of other tech titans. That ought to slow down bears when we cross that bridge, barring a complete calamity in the reports. 

Another important topic we are gauging into the weekend is the small cap performance. For much of today's session, heretofore, the IWM (ETF for the small market capitalization issues housed in the Russell 2000 Index) was not down much compared to the Nasdaq.

As we speak, however IWM is sliding near session lows.

On the updated weekly timeframe, below, bulls will correctly point out that the two-year (plus) support trend line is holding and there is no major damage of which to speak. But the potential topping pattern also highlighted ought not to be dismissed, just yet. 

The bottom line is that the major is now at a major crossroads on some long-term timeframes, and bulls had better keep things afloat this earnings season and continue to cultivate sector rotations. 

$142.50 remains the downside level to crack for a major change in trend. But if bears can move us back under $150 anytime soon the sloppiness of what has been one of the strongest indices may be too much to handle for even the most steadfast of bulls.