Monday, September 20, 2010

Market Resistance at Dow 10,700

Today the market has gone up to a key level of Resistance touched twice in the past 3 months before heading back down.  What happens next will say a lot about the strength of the market.  I suspect the market will stumble again and go back down to around DJIA 10,000 which would make an excellent buy point.  However, if we break out above this level of resistance on volume (which shows strength), then it will be time to load up and buy stocks.