S & P 500
The S & P 500 initially fell during the day on Friday, but as we’ve seen throughout the week, the market turned around and enough to form a hammer nice-looking cattle. Every time you get five hammers in a row, they should be paying attention. With this, I think it’s just a matter of time before they break and a move above 2180 level is the signal that has passed. At that time, I do not hesitate to get involved in this market higher and now it is believed that short-term setbacks should continue to provide buying opportunities. Because of this, I am very optimistic that the S & P 500 and have no interest in selling this market because I think that even if we break below here, we have a tremendous amount of support at the level of 2125.
The Nasdaq 100 fell initially during the day on Friday as well, but as we did in the S & P 500, NASDAQ 100 recovered sufficiently to form a hammer pleasing appearance. The hammer, of course, is a bullish signal but are little overextended in this market in my opinion. Because of this, I’m not so interested in going along the NASDAQ 100 as I am the S & P 500 at the time, but I think that both will eventually reach the highest levels. I think there is a decline in this market somewhere closer to the level of 4600, and certainly the level of 4500, as one would expect psychological support there. Ultimately, I think this market will reach to the level of 5000, but obviously a long-term call. Meanwhile, I think that any time the market pulls back has to be looking at it as a potential value. That being the case, I have no interest in selling, and I think that with time buyers return to no matter what happens.