Watch for a huge gap up tomorrow! These are all institutional games, selloff in the afternoon was to load up into the panic selling of newbies.
Gap up is like 90% probability here. That was panic selling into the close, plus the institutions love to paint it pretty at the open to sucker in the retail buyers that all is ok.
Since we are in the business of predicting on some timeframe, I will venture my best guess. We test the 1370-1375 area tomorrow and hold. From there we trend higher, albiet with volatility and have our final rally top of this move up on the day of or the day following the rate cut at the end of the month. From there it is all downhill, with a major sell-off on the next monthly employment report. we bust through the 1370-1375 area and quickly get to 1315.
Gap up and we just run higher all day tomorrow! The low is already in. PPT will be ready to step in by the off chance there is any serious selling tomorrow.
falling knife at this point... fed cuts will only slow it down but accelerate inflation.. Dollar has lost "trust" Black Teusday 1987... Black January 2008 GOD BLESS AMERICA
The market can't crash when it has the biggest back stop in the world, the Fed. The Bernanke put has already been excercised twice, everyone knows the guy loves to cut rates and pump out money. I repeat. The market can't crash anymore. Those are past phenomenons when the Fed actually cared about the value of the dollar. When you can print massive amounts of dollars, ala Zimbabwe, the stock market goes up, even in a recession.
i think the market will bounce without fed cut...dont even think the market expects much juice from fed cut---like a 200pt jump and then fade...1 day or 2 day event at most...but aside that market is near low of range 12500 dow....