This week is surely one of those up-and-down weeks for the stock market. The Dow Jones Industrial Average was up a hundred points and down two hundred points the next day. It was like riding on a roller coaster.
The 14,000 points on the Dow Jones Industrial Average is considered a major resistance. It seems that the recent fluctuation breaks the 14,000 level; however, it doesn't look like it will last long enough to stay above the 14,000 level.
The Dow Jones Industrial Average has been up since the year 2009. Along the way was couple of quantitative easing; however, nothing is going up forever. The volatility (VIX) is at all-time low, and it just spiked up more than 10% on the budget cut uncertainties and issues that will happen in March.
There will be a correction on the Dow Jones Industrial Average, and it will be a few hundred points down to 13,600 level. Then, it will go up again back to 14,400 level and come down hard. This prediction is acting as a warning to all of investors out there. It is important to realize the risk.
Comments