12,000 is at the rear mirror now. INDU has been strong in the past two weeks. Even though it’s in over-bought territory, INDU has the momentum to reach higher at year end rally. The mid-term election was over, the market did not over-react to the new political landscape in Washington.
The market is looking for direction. Maybe the war is close to an end?
Dow Jones Industrial has reached the previous low. We should see some bounce unless some really bad development continues in the mideast.
Obviously the latest development in the mideast has caused some concerns on the market. Along with other major indices, Dow Jones Industrial lost ground and it looks likely that it will retest previous low again.
Consider it a potential buying opportunity.
How much will the market continue to rally? All major markets are quite extended after going straight up for almost two months.
It’s quite possible that it continues to move up, but I would sell into the strength to take some profits.
Market at glance:
Best performing sectors from last three months are Gold & Silver and Broker & Dealers, followed by Dow Jones Industrial and Russell 2000.
DJIA – Dow Jones Industrial
DJUA – Dow Jones Utilities
DJTA – Dow Jones Transport
SP500 – S&P 500
NASDAQ – NASDAQ Composite
RUT – Russell 2000
XCI – Technology
IIX – Internet
XBD – Broker & Dealers
XOI – Oil & Gas
XAU – Gold & Silver