The stock market week started off on a sour note again, with the indices continuing their decline over the last three weeks. New pullback lows today took out key support on the S&P 500 around 1210, and reached down toward the next support at the 1200-02 area, before bouncing late in the session.

The day started out with a move up, reaching the early highs within minutes. The indices pulled back, tested, bounced, and took out support. When that occurred, they kept going, took out trend lines, and by the end of the day were stair-stepping their way lower.

The indices have had a 5-wave decline since Friday morning and, at this point, may be due for some kind of rally back. In addition, they are nearing long-term trendlines going back to October 2010. When the lows are connected they point to the 1195 -1199 zone. So, we're not so far from what I consider a potential snapback rally time.

Net on the day, the Dow was down 100.13 at 11,766.26, the S&P 500 down 14.31 to 1205.35, and the Nasdaq 100 down 22.91 at 2215.27.

Advance-declines were 3 1/2 to 1 negative on the New York Stock Exchange, and 4 to 1 negative on Nasdaq. Up/down volume was 10 to 1 negative on New York, with total volume of 770 million shares traded today. Nasdaq traded 1.5 billion shares and had a 5 to 1 negative volume ratio.

TheTechTrader.com board did have some gainers today, but for the most part, it was a sloppy day. On the upside, VirnetX Holding Corp (VHC), on positive news, was up 3.75 to 25 even. Low-priced Towerstream Corporation (TWER) rose 29 cents to 2.20, LDK Solar Co., Ltd. (LDK) 50 cents to 4.95, thinly traded ADA-ES, Inc. (ADES) 2.11 to 22.10, and Gentiva Health Services Inc. (GTIV) 50 cents to 6.57.

Elan Corp. plc (ELN) was up 75 cents to 12.57 on merger news.

ProShares UltraShort Silver (ZSL) was up 92 cents to 15.44, the Direxion Daily Emrg Mkts Bear 3X Shares (EDZ) up 1.64 to 23.05, the Direxion Daily Small Cap Bear 3X Shares (TZA) 1.55 to 30.84, and the Direxion Daily Financial Bear 3X Shares (FAZ) 2.50 to 44.65.

On the downside, it was interesting to note that Goldman Sachs (GS) is at multi-month lows, down 2.40 to 87.70. First Solar, Inc. (FSLR) dropped 1.41 to 30.50, Golar LNG Ltd. (GLNG) 1.08 to 41.92, Liquidity Services, Inc. (LQDT) 1.70 to 36.94, Universal Display Corp. (PANL) 1.38 to 33.08, and Youku.com Inc (YOKU) 1.00 to 17.05.

The Direxion Daily Small Cap Bull 3X Shares (TNA) was down 2.21 to 39.53, while the Direxion Daily Financial Bull 3X Shares (FAS) fell 3.58 to 55.40.

It was a very negative day today to start the week, and we’ll have to see if there’s any support on levels just beneath where we closed today.

Harry Boxer is a technical consultant to many Wall Street hedge funds and large institutional traders, and author of TheTechTrader.com.