Now that we’ve seen heavy selling pressure for two days, it is probably a good time to review key support levels on the Nasdaq and the S&P 500. Price action was horrible on the S&P 500 on Friday, as it gapped down, opened at the high and closed at the low of the session. The next important support levels on the S&P 500 are 1,357 and 1,340. We would not be surprised to see a fairly significant bounce off either, or both of these levels. Notice that the S&P has now cracked its long term uptrend line and this mark should now serve as resistance.