The FOMC lowered rates, but traders did not like what they heard, or took advantage of it to sell on the news. The market plunged all afternoon after the announcement was made, and closed near the lows for the day going away.

The Dow was down 294, which was about 350 points off its high, and that was despite a slight bounce at the close, about 20 points off the low. The S&P 500 was down 38.31, just a point off the low and 47 points off its high. The Nasdaq 100 dropped 51.16, and was 54 points off its high today, and just 2 points off the low. The Philadelphia Semiconductor Index (SOXX) fell nearly 9, more than 2 percent.

The technicals were very negative, with advance-declines more than 5 to 1 negative on New York, and about 4 to 1 negative on Nasdaq. Up/down volume was about 14 to 1 negative on New York, where 1 1/2 billion traded. Nasdaq traded nearly 2.2 billion with a little less than 6 to 1 negative ratio.

As you can imagine, TheTechTrader.com board was very negative, with just a few gainers today. Shipping stocks got hammered, as you would expect, with DryShips (DRYS) dropping 10 points at one point off its earlier high, down 6.28 on the day. Excel Maritime (EXM) was down 4.23, and TBS International (TBSI) down 4.32, also in the shipping sector.

Sigma Designs (SIGM) got hammered in the afternoon decline, dropping nearly 5 3/4 today.

The afternoon decline saw the junior solars take it on the chin as well, with Canadian Solar (CSIQ) down 2.73, Ascent Solar (ASTI) down 2.03, Solarfun (SOLF) down 2.30, and Evergreen Solar (ESLR) down 1.12. Despite that, Hoku Scientific (HOKU) advanced 19 cents, although it had been about 80 cents higher earlier in the session, but still managed to stay positive on the session.

Other losses of note, Cardica (CDRC) gave back 1.67 from yesterday's sharp gain, Aluminum Corp. of China (ACH) dropped 3.16, Global Solutions (GSOL) 1.45, Home Inns & Hotels (HMIN) down 1.55, China Finance Online (JRJC) down 2.85, and UEPS down 1.28. It was a definite bloodbath on TheTechTrader.com board today.

On the plus side, there were some point-plus gainers. FSIN, one of my Charts to Watch this week, jumped 1.54, unusually strong relative action. FuelCell Energy (FCEL) on positive news was up 1.65, and Fuwei Films (FFHL) was up 55 cents today.

As you would imagine, the ETF short instruments were sharply higher, with the SDS higher by 2.85, and the QID up 1.72.

Stepping back and reviewing the hourly chart patterns, serious technical damage was done this afternoon after the FOMC lowered rates, as price support and moving averages were violated and trend lines severely tested on the hourly charts.

However, it's our experience that within a day or two of the FOMC announcement the true trend will assert itself, and we'll see if this downside thrust is the beginning of something serious or just post FOMC negative reaction. That remains to be seen.

Harry Boxer is a technical consultant to many Wall Street hedge funds and large institutional traders, and author of TheTechTrader.com, a real-time diary of his day, swing and intermediate-term trades. For more of Harry Boxer, sign up for a free 15-day trial to his Real-Time Technical Trading Diary, or sign up for a free 30-day trial to his Top Charts of the Week service.