Market Looks Likely to Head Lower
So far the markets are doing just about as we expected toward the end of last week. We did have a bit more strength and then a resumption of the slide.
On the first chart below, we see that the weakness has been enough to break the very steep uptrend line that connected the bottoms made since the important early October low. That leads us to the belief that we will be going lower over the next few weeks. The 1295 level on the S&P 500 that turned us lower looks as though it is likely to stand up as the high of the three-to-four-month cycle, bottom to bottom, that began with that October low. The 1230 level may provide a little support, but I think it will be fleeting. The next cycle low is due in January....369 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.
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