Monday, 1 April 2013

Closing Brief

The main indexes closed very mixed. The Dow almost closed flat, with the sp' -0.45% Yet the big two leaders - Trans and Rus'2000 slipped 1.5 and 1.3% respectively. Near term still offers one more jump to the upside, but there are increasingly signs of weakness.



Suffice to say, a bit of a choppy day.

Best guess remains, we'll max out Wednesday, in the sp'1575/80 area. From there, I'll be looking for a very sharp intra-day reversal, and first downside will be the 1540/30 area - at which level there is strong rising support..which itself should break by mid April.

The bears are going to need to be real patient in the days ahead.

Whilst the QE-POMO continues, its going to be real difficult just to claw back under sp'1500.