Gravestone

Friday was a very exciting but bad rollercoaster ride. The night opened up positive with US GDP higher than expected along with better consumers and Chicago PMI. DOW moves up to a high of 100 pts before slowly sliding off and closed off negative forming something like a gravestone or inverted hammer. This means that the people are not very confident about things are going in the US with Jobless rate at high. The negative closing for Friday might signify that January had failed to close positive indicating the rest of the year isn't that good (The January Effect).

Right now DOW is just hovering at the 100 MA. With the inverted hammer, it could mean another possible reversal or consolidation. Hard to say is if it will be up or down tonight. We will need a confirmation. Since the reversal has failed us for a few times last week, I will say down or flat tonight.