Just Another Day In The Park
OK, most major averages are up. I am not excited. The
only reason that I can see that the market is up today is because bounces occur
at important support levels. The Dow, S&P 500 and the Nasdaq all hit
definable support and yes, bounced.
Here are the very important levels as
they appear to me:
Dow: 10150 – 10200.
S&P 500:
1170…
…and the Nasdaq:
1930 – 1950.
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I don’t
predict in this column…but currently, I don’t see how the markets hold these levels. There still remains too much
complacency and most importantly, the number of stocks that are either breaking down or gapping down has picked up in a big way.
The many sectors that have or are just now breaking down are GAMING,
TRANSPORTS and other CYCLICALS, UTILITIES,
INSURANCE and miscellaneous MEDICALS.
Many breakouts have been failing. If the levels discussed previously are
broken, what has been a very tough last few days COULD become much worse.
Just another day at the park.
Until Friday,