Meanwhile the bears say the bullish momentum could carry the indexes just a little further from Monday's levels -- the Dow to 10,200, S&P to 1,177 and the Nasdaq to 1,980.
In fact, the Dow could go to 10,500 and the S&P could conceivably hit 1,249, says Newman, who adds that his bearish bets would be off if the S&P can break above that level which is the mid-point between the index's all time high of 1,527.35 and the Sept. 21 lows. He thinks the probability is remote.
``We never had a retest (of the Sept. 21 lows) and that's one of the reasons why I continue to remain bearish longer-term,'' said Newman, who expects a smaller pullback to about 1,060, 1,750 and 9,200 in the S&P, Nasdaq and Dow respectively, before they can rally.
biz.yahoo.com |
