Over the last couple of weeks, the market has really been up and down. This type of move usually creates a trading zone, and, in this case, it looks like the volatility has created a downward trending pattern for the S&P 500.
Taking the pattern into account and the most recent hitting of resistance at around 1090, the market could easily be shaping up to drop below 1000 come August.
It will be interesting to see how the events shake out for the rest of the month. Remember the challenge is still open.
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(Wall Street Daily, 1/24/12)
Why We May See a Rally in U.S. Stocks
(Money Morning, 12/19/11)
S&P 500 Chart – The Art of Technical Analysis
(My Trader's Journal, 1/22/12)