major indices

Still Hanging Around

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With all three major indices sitting right at important junctures from a chart standpoint, it is interesting to note that there isn’t much of a battle going on between our two teams right now.

Mixed Messages

http://PlayAudioMessage.com/play.asp?m=500229&f=LGVEID&ps=13&c=FFFFFF&pm... ">Here’s a link to listen to an Audio Version of the report

With the major indices still sitting right at the top of the trading range and yet, so far at least, unable to break out, traders really are forced to pick a side when putting new money to work right now.

On the one hand, stocks are overbought and bumping into what appears to be fairly significant resistance.

So Far, So Good

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After a breakout, it is fairly common for the stock or index in question to pull back to the breakout area to retest the move.

Making A Break?

Can the Bulls Make a Break?

Sideways is Just Fine Here's a link to listen to an Audio Version of the report: After enjoying a stellar run over the past week, even the staunchest bull will admit that it's probably okay for the major indices to take a break in here somewhere.

Everyone can see the resistance looming overhead. Everyone knows that the indices are overbought from a short-term perspective.

Holding The Line Here's a link to listen to an Audio Version of the report: Much of yesterday’s session was extremely uncomfortable for the bulls as the onslaught of negatives appeared to push the Dow and S&P below the all-important line in the sand on the charts.

Retest Mode: On Here's a link to listen to an Audio Version of the report: With the major indices flirting with their January lows, one could argue that it might not take much in the way of bad news in order for the bears to get their much anticipated breakdown on the charts.

The thinking here has been that since we never got the emotional panic often seen at important bottoms, stocks would be vulnerable during any retest of the lows.

Same Story, Different Day Here's a link to listen to an Audio Version of the report: Although there were pockets of strength seen on Friday, the stock market can best be summarized as falling victim to a case of same story, different day.

The major indices closed out a crummy week on a down note in response to ongoing concerns about the economy, the potential for more writedowns, and worry that the bailout of bond insurers might fall through.