I believe equity markets will fall next week, and they may fall a meaningful amount ("meaningful" being 50-100 points on the S&P). Having looked at my index charts, I believe the only thing that will continue pushing the market higher will be company after company announcing shocking positive earnings, a la RIMM. I think the odds of that happening are somewhere close to a number that rhymes with "hero."
Astonishing earnings blowouts notwithstanding, I am looking at a sea of charts that are right up against huge resistance levels.
I also see that the NZD/USD, which I used to follow religiously, is at the major 50% retracement level and is up against a crucial level of resistance.
The only bright spot in the world of equities, I think, is high-tech. A bit of a pullback would just make buying high-tech NASDAQ stocks even more compelling.
The stock market has been up solidly four weeks in a row. The Russell 2000 is up 33% in just nineteen trading sessions! If we end higher by Good Friday, I will be very surprised. I intend to hold on to most of my longs during the anticipated downturn, notwithstanding any stop-outs that get hit.
