Minutes released today suggested that the Fed Governors are leaning towards favoring “tapering” of the current 85 billion a month in easing.
Sep Dow traded down to 14856. Dec Dow traded down to 14776.
For now, move down protective sell stops and let the market do what it wants to do.
Sep Dow has now moved 744 pts from its high in the last 13 trading days. That’s 4.7% off the top. Sep support comes at 14,751, 14621 and then 14,500.
A 10 percent correction takes us down to 14,040. A 20% correction takes us down to 12,480.
That would be like a two by four to the heads of the stock bulls.
Just food for thought.