of stock market psychology
SPXBen is probably enjoying his cigar.http://99ercharts.blogspot.com/2010/11/spx_4707.htmlHave a great weekend.
SteveI’m thinking that we have completed wave 1 down from the Nov. high and almost completed wave two as long as we do not go over 1208 SPX. If 1208 holds we should tern down quickly in a large 3RD wave (or C if you are a bull) to 1156 or so before a 4th wave correction starts (or wave 5 up for the bulls). I’m staying short and still holding to my 9200 target on the DJIA(thought it would of happened already but QE2 had its way) as long as 1208 does not get taken out I’m figuring we will be in either a 3rd down, or a wave C of wave 4 from the August low. Earnings are done, GM is done, and the casino deal got put on hold, I was surprised they got GM done to be honest. QE2 is not working and Bernanke is loosing his credibility in the eyes of the world including the USA. Until the problems in housing change the banks are in trouble, the government is still shutting them down faster then ever and unemployment will remain high. State and local governments are starting to cut back and let go more workers go and there is pressure on are federal government to cut back also. I only see one out come and that’s back to zero or negative GDP in 2011. I think we just need a good upside move in the dollar to make this outcome work and get the bears back in the bear camp (a lot have strayed). Where do you see the dollar going next week, it’s the key? Jack C