On 10-10 the DOW dropped huge and closed at 8451.19.That close was tested on 10-16 and it bounced.It was also tested on 10-22 and 10-23 and bounced.On Friday it closed under that level during the final two-minutes, which sets up a massive sell off this week starting on Monday.
What a coincidence, the 10-16 low was taken out the last two-minutes today.On tap for tomorrow: the 10-10 low of 7882.51, which leads to a big Wednesday.
Keep in mind it ONLY took Long-Term Capital Management's leveraged implosion in 1998 to almost bring down the entire financial system. This time, EVERYBODY'S in the position LTCM was in. It's actually quite scary.
Yes, your assessment's correct. Look for about a 6500 Dow in the near term.
Yes, and watch the 10-10 low of 7882.51 on Monday, a close under that will lead to a big Tuesday down.