NDX technical outlook - game on for the lows - market update

The NDX daily has turned the down counts on again with the mission to complete. The Daily Seq counts a 10 today and we have still an uncompleted 11 at the low, so we need 2 lower closes below the recent low. The zigzag pattern unfolds and as more negative economic news comes in and massive European rate cuts - even at unexpected magnitude in GB did not help to hold markets up. Expect a test of 1200 or a SEQ 13 first before another little upleg before producing new lows. All the bulls of recent days need to get scared out before we have a real low in. Financials need to drop further, especially the BKX - volume is picking up a bit but still below average. The VIX is rising a second day now heading for 70 - even as we make new lows I doubt we will see new highs for the VIX.