The Nasdaq 100 Index is currently leading the stock market (Apple is 19.97% of $QQQQ ETF). Apple reported record revenues and earnings today but traders sold the news as iPad sales fell short (read 1, 2 at SF Gate). The Nasdaq 100 future is currently down 1.1%. The support level to watch is 2,049 in $NDX, NDZ (Nasdaq 100 December Future) and NDQ (e-mini). There is a steep uptrend line that must hold as well. XLK has a similar level as well (chart 4). I'm watching the US Dollar, QQQQ, XLF (banks), ITB (construction) and commodities for overall confirmation. I want to see if shorts can put a dent in the chart.
QQQQ Leads SPY, DIA and IWM - Courtesy of Stockcharts.com
Nasdaq 100 December Future (NDZ10) - Courtesy of Optionsxpress
$NDX (Nasdaq 100 Index) - Underlying Index
XLK (Technology Select Sector SPDR) looks similar