The company's interim CEO, W. Bruce Johnson, had this to say about the retailer's quarterly performance, "While the overall retail market remains difficult and its impact is reflected in our results, we continue to take actions to increase the efficiency of our operations. We have reduced our selling and administrative expenses by approximately $1 billion over the past four quarters, including a reduction of $212 million this quarter."

Yes, the market is difficult, but that didn't stop other retailers -- just like Limited Brands (NYSE: LTD) yesterday, or Wal-Mart (NYSE: WMT) before it -- from surprising the Street to the upside.

SHLD bulls should worry a bit today, as the stock is clinging to support at its 20-day moving average. If the stock slips today (as it rightly should), watch for this support to give way and for the shares to challenge potential support from their 50-day moving average. Perhaps the biggest danger is the loss of support from the equity's weekly trendlines.

SHLD is in the process of climbing back from its 2009 nadir, but this morning's news could bring a quick end to this progress. If the shares fall too far, they could lose critical support from their 10-, 20-, and 50-week moving averages. If this situation comes to fruition, the stock could be in for yet another struggle. Unfortunately for SHLD shareholders, they are becoming used to struggles -- as the stock spent most of 2008 in a free fall.