Update Dec. 5:: The market has spoken. At least for today, the market is going farther.
A week ago, we weren’t sure if we could hold Dow 11,000, and now, we’ll see if the market can hold 12,000. It’s going to be a very interesting week as we approach the holidays. There are a lot of conflicting signals. After this week’s 800-point run-up, I wouldn’t be surprised to see some selling, and yet, I wouldn’t short the market here. If you are long, use stops as this market could reverse on a dime. It’s anyone’s guess which way the market will go. Soon we’ll find out if the market went too far and too fast, or if this rally has legs.