Here is a 30 minute chart of the SPX (click to enlarge):
The brown trendline delimits the recent bottoming activity. As soon as the market passes on the other side it shouldn't go back below it. In that case a retest of this line is a buy for the more conservative bulls that didn't buy yesterday's drop.
The green horizontal line represents the bottom of a range in which the market traded the most during the last 3 days. I have noticed that each time the market went below this level (1080) it quickly reversed above it. This makes it an important level to watch for Tuesday.
In case the market gaps up, the top of the range (about 1085) is also a line in the sand above which the shorts will start to cover.
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