Wednesday we pushed back 25,800 Resistance in a steady upward climb. This is now our new Daily Support Level. The advance of the past few has been very strong, so a pull-back should be expected as far back as 25,000.
DJIA – 39 Minutes
Once again, the broad consolidation in the Daily chart implies a move to 29,500, which is 2x the distance to the center. Sometimes consolidations form exhaustions and break in the opposite direction. This one appears to be pushing towards this projected level. Continue to monitor short term support at 25,000, and long term at 24,800.
DJIA – Daily
We have never seen anything like this in the history of the U.S. stock market, where participants completely disregard trillions in new federal debt, bankruptcies and depression-level unemployment. So we have to be ready for severe weakness entering the market. That’s not the same as “pull-backs”. I’m talking about severe down day breaking 25,000. Otherwise, accumulate sympathy stocks or those that have lagged the general recovery.