The stock market closed slightly down but breadth settled on a fairly negative note: 986 stocks advanced compared to 1935 down. We observed some selling pressure at the close, as measured by the Tick index. Daily sentiment indicators measured in the option market pointed out to a neutral view of the future direction of the market. In an environment that should continue to be volatile, we tentatively try to draw a scenario: we expect a brief consolidation around these levels, followed by a short leg up and then a more pronounced correction, time will tell…