The S&P 500 tried to recover part of Thursday’s losses and tested the 3000 level before inching higher towards the close. We observed some bargain hunting, as measured by our buying/selling index and our capitulation index which closed in the overbought zone. Activity in the option market was fairly neutral, breadth settled with 2953 stocks closing up and 1009 settling down. All systematic models have turned down yet which may add to the selling pressure after the mood of euphoria we observed recently. Stock index futures are pointing down this morning after new outbreaks of the coronavirus pandemia surged all over the world.