Morning Gentlemen,Watching the Dow Closely in its closing hours,...

Morning Gentlemen,

Watching the Dow Closely in its closing hours, it certainly gave me the impression that it is forming a short term base, though only short term, and the target of 8800 still needs to be met.

Likewise, looking at the patterns on our XJO futures it would not surprise me to see 3740 to 3750 today, even though we may open around the 3720 mark.

Unfortunately, according to my mad methods, I do see the index's rise from the 23/12 to yesterday as being corrective, with an expected retrace all the way back to 3500 ish being on the cards... below this I am not certain, though I will make further analysis on the weekend.

On an interesting note, I noticed with this bounce, first the Blue Chips rose, and then the speccies... does this work the other way... first the blue chips weaken, then the speccies? Time will tell. the XJO is primarily made of speccys.

So.... today's summary and pardon for waffle... I think we might well have a good rise after open, though I would not be surprised to see weakness occur in the xjo after around 3750 if it is reached.

;)