Here’s the deal, volatility is probably going to remain elevated throughout the Holiday season. The brunt of the subprime mess is just hitting now and the Fed will probably lower rates one more time just to stabilize things. If they don’t, expect the S&P500 to be trading somewhere below 1200 (my guess). I’m a buyer at any signals below 1400 so we continue to remain on the sidelines.
The charts are below, for some reason the PNG’s are not showing up in the WP image box.
