January 25th Market Direction

Today’s hard selling, reacting to the dismal outlook from Microsoft, puts the market indexes back into sideways mode, most evident in the Dow. The gap down in the NASDAQ and the S&P 500 produces that same scenario. The S&P 500, with a bearish kicker type signal shows a failure at the downtrending resistance level. Any long positions not showing any good strength should likely be closed.

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