1:25pm (EST)
The charts we drew up over the weekend were showing a continued pullback and the downside targets we gave you came into play on this morning’s open. There has been a little bounce off the lows but it appears as though the bulls will continue their Monday/ Friday losing streak.
For those of you just joining us over the last few weeks, please remember to login to the Members Area on Sunday nights/ Monday morning to see all of our chart work. One of the main reasons we are able to keep our emotions in check is because we trust our chart work and we don’t follow the herd.
We use a number of simple, easy to understand technical indicators and channels to get a snapshot of where the market is headed over the next week, month or possible year and for those that have been with us over the years know we have done a tremendous job in calling the market’s direction. Our goal is to teach you to see the market the way we do so when days like this arrive, we know what is going on.
Although we do have some open trades, it is a little early to take a New Trade today because the bulls held support and we haven’t got confirmation yet on if there will be a further decline or a run back to new highs come tomorrow morning.
The zombies continue to drag their feet as the Democrats aren’t planning to come to work for another hour or so. The Republicans need 5 of them to jump the fence in hopes of getting their weekend proposal bill passed but that seems unlikely. If there is no agreement, it will be the first government shutdown in 17 years.
We aren’t sure which side will turn into a pumpkin come midnight but the dance for Cinderella is coming to a close.
As we head to press, the Dow is down 79 points to 15,179 while the S&P 500 is lower by 5 points to 1,686. The Nasdaq is declining a point to 3,781 and is holding 3,775. The Russell 2000 is off by 2 points to 1,072.
We have some updates for our open trades, including another Profit Alert, so let’s hit the Members Area. We will be back in the morning with a full report and we expect to be busy with possible New Trades and/ or additional Profit Alerts.