http://stockcharts.com/h-sc/ui?s=VT...id=p56730125539 Market may correct 7% from here. Towards the end of the chart, I noticed lower volume which might be a fake correction. However, I wouldnt challenge it at this point. A few more bad reports will set the market up for a correction. Market didnt correct in Sept-Oct so this might just be a late bloomer this year. If there is a recession, it may not stop at 7%. I wouldnt entertain buying back into the market until it hits the blue line and consolidates. If it goes below the blue line, then I would wait even further before entertaining long positions. If a full blown recession rears its head, I can imagine that the next consolidation point would be the red line.
http://www.marketwatch.com/News/Sto...dateid=39049.3545022338-885133844&siteid=mktw Durable orders fall 8.3% in October, most in 6 years PrintDisable live quotesRSSDigg itDel.icio.usRelated Blog Posts & ArticlesBy Rex Nutting Last Update: 8:30 AM ET Nov 28, 2006 WASHINGTON (MarketWatch) - Led by falling order for new airplanes, demand for U.S.-made durable goods fell 8.3% in October, erasing September's 8.7% gain, the Commerce Department said Tuesday. It was the biggest drop in orders for durable goods since July 2000. New orders for civilian aircraft plunged 44.5% last month. Excluding transportation goods, orders fell 1.7%. Orders for core capital goods fell 5.1% in October, the first decline in six months. The 8.3% decline was much greater than the 4.8% drop expected by Wall Street economists surveyed by MarketWatch
I see no resistance until the overall market tanks another 6.25 percent. Only thing keeping market from falling further is energy complex. Cold snap after the weekend and Saudis going to turn off the tap.
wel...THAT was boring. Mixed eco data didnt really define direction for us now did it! i doubt bernake will say anything of consequence to move the market...i think he will be quite cautious with his words and reapeat what has already been said.
Back in May, I was looking at some charts. Then Bernanke spoke and there was such a selloff in the market that if you didnt know he spoke, you might have thought there was another terrorist attack. I dont trust Bernanke. Its time to get back into the energy faves and to embrace the good ole energy complex.
today the markets will close huge on the fed the stock market is so easy to predict the last 4 times the markets sold off big there has been a huge rebound. The fed will indicate a rate pause.