INDEX UPDATE
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Previously, I had mentioned that I was expecting a STAIRSTEP in the 9550-9800 range, but last week 9800 was broken to the upside. The next resistance area is 9900.
After the strong gain on Thursday there was no followthru on FRIDAY. My short-term technicals are smack in the middle again. In light of these issues I feel that we may continue to zig-zag a bit longer and that the range of the STAIRSTEP just moved up some.
The end of month rally should also start soon, which statistically begins with the last 2 days of the month and continues 2-3 days into the following month. So it is possible that we could get close to 10000 again, if we dont head down first.
With my short-term technicals in the middle, its a flip of the coin; the probability of calling the correct direction movement here is low.
My calculation, purely mathematical implies that the upside and downside potential from here is about 200-300 points, so 10,000 is a possibility again.
With all the volitility last week, the DOW is only down 80 points for the week. If I recall correctly, prior to the big pullback last year, it was common to see big intraday swings within a zig-zagging pattern - lots of movement.
So as silly as it sounds, we got the ABBEY COHEN 3 day indicator to hit tomorrow which is that the 3rd day after she makes a comment the market reverses in the opposite direction. Hey, I wouldnt put any money on it, but I just like mentioning it since I love all those analysts gggggggggggggggggg.
Seeya
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