Today's format is a blend between Mish's Eve Watch and OR Focus List. After yesterday's drop, focusing on day trades is probably the best plan for the remainder of the week. If you catch at trade that really runs and closes your way then consider leaving a tail on.

SPY: After a substantial gap down it ended the day not far off from its open.  Now it, along with the DIA and IWN sit near their 50-day MA, at the bottom of a daily channel, and in the top half of their daily range. If the market moves lower don't fight the down trend. On the other hand, if the market firms up, don't be surprised to see a bounce up to fill the gap from Friday to Monday (121.23).

QQQ: The Q's have been hit the hardest of the 4 market watch (SPY, IWM, DIA, QQQ). On a closing basis they are now at the 50% retracement from the rally off the August lows, many of the big names in the index - GOOG, AAPL, AMZN, INTC, are all in areas of support that justify a potential bounce. Additionally, the 3-day RSI is as low as it's been since early Oct. When I add this up with my comments about the SPY above, the market is in a down trend, not yet extremely oversold but there is enough evidence to suggest that pushing new shorts is very risky unless some negative news hits.

Long:  All of these long picks are either at support and therefore candidates for a bounce IF the market bounces, or they performed well yesterday and therefore may continue higher today. The general market condition, however, is negative and only modestly over sold so don't fight a down day in the market.

Positive pivot stack so look for OR reversals over S1 or breakouts if the market is strong and there is a good inflection point that it is breaking out of in addition to the OR.
M
RAI
ROST
SWI
FDO
DDS

Negative Pivot Stack but good daily position. Look for trades over the FTP

FTI
AAP
AAPL
TSLA
JBHT

Shorts: The market is modestly oversold and with 3 of the 4 market watch charts at or just below their 50-day it would not be surprising to see a holiday week bounce. It's hard to find a stock that is set up to with a fresh break down. The top two on the list may have just begun a bigger move down and can be sold on a breakdown or an OR Reversal, the bottom 3 I'd rather have an OR reversal with a good risk over the prior high and or R1.

SYK
WYNN

Wait for OR Reversal
SINA
FOSL
BID