Dow Broke below 10,000

All the 3 major indices broke the 61.8% Fibonacci level. Interestingly, the host in CNBC were not showing or reporting the panic in the market. They mentioned that it have been a 'smooth slide downwards'. Perhaps, they were told not to aggravate the situation by not reporting the panic (if any).

Anyway, the Dow Jones Index broke its 10,000 mark and more importantly, it stayed below that mark. Psychologically, the market still seems to see lots of bearishness in the market.

The next Pit stop would be the 78.6% Fibonacci level:

• DOW = Around 8,700 (but the market will look at 9,000 followed by 8,500)
• S&P 500 = Around 950 (but the market will look for 1,000 followed by 950)
• Nasdaq Composite = Around 1480 (but the market will look for 1620 followed by 1480)

Having said that, yesterday, all the 3 major indices had long shadow in its candlestick. Perhaps, the market need to rest and consolidate before making its next move. I would be careful though. If an interim reversal is shown in the market, I might close some, if not all of my short plays.

The European and Asian Markets are currently having a positive rebounce. Wall Street might just follow suit.

Cheers!!!

PersianCat (Millionaire-in-progress)