Following its rather dismal market debut on Friday May 18, 2012, we penned a short article entitled "Market Frowns on Facebook." In it, we stated clearly that if Facebook lost its floor at $38.00 then we could say hello to Facebook at $31.00 dollars per share. On Tuesday May 22, 2012, Facebook met this prescient fate amid a print low of $30.98 dollars per share.

Following Friday's flat faced premier; Monday began trade with a gap down open at $36.53. Setting a low on Monday at $33 even, Facebook traded as high as $35.05 before settling the session at $34.01.

Within the first ten minutes of trade on Tuesday, Facebook hit our downside price target of $31.00 amid a print low of $30.98. From the underwriters failed support of $38, the move down to $31 translates to a decline of 20%. From Tuesdays open, the 24-hour move down to our target measured in excess of 15%.

Going forward, we have drawn a downward trajectory illustrating a speedline of resistance for the shares. If $30.98 marks a temporary floor, we should expect a snap back rally toward the $38 level if our speed line of resistance does not get in the way.

And yes, as for those following "the Pilot" today's updated balance sheet for May still has us all smiling.

Until next time, Trade Better / Invest Smarter