January 25th Daily Market Comments

The T-line continues to be an influence on the market trend. The Dow, after closing just below the T-line on Friday, is continuing to have problems getting up through the T line. The NASDAQ, the strongest of the indices on Friday, is currently trading back down to the T-line. The S&P 500 and the transportation index also are hovering just below the T-line. Crude oil is doing the same. Until there is a confirmed evidence that the T-line is not going to be acting as resistance, the downtrend has to be considered still in progress. However, it remains important to see how these market indexes closed at the end of the day. There have been candlestick reversal signals but the T-line still needs to be the final confirmation.

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