September was an ugly month for the stock market. The S&P 500 recorded 10 distribution days, and the Nasdaq recorded 8 distribution days. The selling picked up at the end of the month too on even heavier volume. The arrows shown below mark distribution days in the market.
Small cap stocks are also continuing to look bad with heavy selling in the Russell 2000 (IWM). And the dollar continues to surge which is a sign of risk off in the markets. I would look for October to potentially be a bad month for the markets if September is a forewarning.