CHESSNOID

The stock market was all over the place today, but in the end it was down.

If you look at the charts below this will give you an idea how big the swing was.

I really thought at mid day when the rally started we would possibly end up another 5-7% and have a nice follow through from yesterday.  I didn’t see it bouncing off the starting point and ending up where it did.  I think knowing who will be President now and watching how the current White house, Federal Reserve and US Treasury handling the current economic crisis have basically subdued the overall future optimism of better days ahead of us.

Next week is options expiration week but don’t think it will be any more volatile than this week.  Negative news is just a normal thing now.  I would guess the market would go up next week because we have had just so many down days this month already.  Long term I still think we will hit 7,000 on the DOW but we may get there before the end of the year and possibly before the end of the month.  Until the housing market stabilizes, I don’t think the equity markets will recover or at least flatten out.