Wall Street fell for a third day on Tuesday on fears Europe still has failed to tackle its debt crisis, prompting worries the market is headed to new lows for the year.

Investors channeled cash into less risky assets as doubts resurfaced over the political will of Italy and Greece to push through tough budget measures and as Germany hardened its stand against providing more aid. The worries over the European debt crisis' renewed fears that the global economy could fall into recession.

The S&P 500 is now down 14.5 percent from its highest point in 2011, reached at the end of April. Though investors have periodically taken heart from signs that Europe has carved out a plan to deal with its festering crisis, confidence has been repeatedly walloped every time there is a development showing that the problems have not been solved.

The Dow Jones industrial average was down 100.20 points, or 0.89 percent, at 11,140.06. The Standard & Poor's 500 Index was down 8.67 points, or 0.74 percent, at 1,165.30. The Nasdaq Composite Index was down 6.50 points, or 0.26 percent, at 2,473.83. (commentary & photo courtesy of Reuters)

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Taking a queue from my momentum system I purchased two leveraged funds today:

• Buy 268 shares of Direxion Daily Gold Miners Bull 2X Shrs (NUGT)
• Buy 463 shares of ProShares UltraShort S&P500 (SDS)

Both shares are for a –1.0R risk of $1,000. Scale your shares accordingly. Immediately after buying I placed the required stop loss orders. The RSI portfolio took a hit today, mainly in the commodity positions which were weak on recession fears.

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Due to database problems, I don’t have RSI results for today. If there are any fresh buy signals I will post them sometime Wednesday.