August 2010

As September nears, we should all be asking the question:

Is the market headed for a reversal or an “up” trend continuation?

I don’t know nor does anyone else but what we can do is sit tight and get ready to trade the confirmation, whether it is up or down. A break of support is a signal to begin shorting the market. A move above resistance will be a signal to buy breakouts.

It’s that simple. See below for the three major indexes and their current support and resistant levels: