Sunday, April 13, 2008
April will be the most important month in the stock market for 2008. It will resolve the issue as to whether the rally of the past two months was the beginning of a new up move, or just a blip in an ongoing bear market which started in the fall of 2007. So far the first 10 trading days in April goes to the bears. Especailly because GE a company who has gamed earnings for years, missed its estimated. GE is a bellwhether of the economy because of its broad industry reach. The market is failing and failing badly at a key technical juncture. Every rally into resisitance is met with failure. Unless the Dow can break above 12,800 along with a move by the Dow Transports above 5,000 it is still a bear market.
Posted by Steve at 6:56 PM