October 18th, 2005
There’s almost no question about it, the market has turned bearish and at least an intermediate decline is likely. The resistance levels mentioned in my September 12, 2005 postings were not broken and it now appears that the challenge now is to see whether the major indices are able to hold their support levels. Take, for example, the NASDAQ Index:
The index is in a channel dating back to the beginning of 2004; support level represented by the lower boundary of that channel is at risk of being penetrated.