Last week I noted I wasn’t exactly optimistic about the market. In fact, I was worried enough I thought the downside may be tested again.
Unfortunately, whatever was bothering me was real, and as we all know, it was an ugly week.
However, all hope is not lost. As you can see in a chart of the Dow below, all the market has really done is move sideways. (Albeit in a volatile fashion!)
Further expanding on the Dow chart, even the S&P chart hints there may be support at the August lows. I don’t know if that area will hold, but I think it’s worth taking a shot on the long side, as we should see a bounce.
Finally, I talked about my concern over the V move AAPL had made last week. Those kind of sharp moves up always worry me, and at least this time, my fear was well-founded. However, I’m not all gloom. The chart below shows what I was looking at last week, but also points out an area – the downtrend line extended – where I think AAPL might fall to…but also where I’d buy.
Anyway, let’s keep out fingers crossed that the August lows hold next week.