NEAR THE CLOSE

When the Dow cut its losses in half earlier today, we thought there was a decent chance the market was again being defended at a most important juncture. It was a guess based on knowing longer-term support is hard to break as well as the action we were seeing. As we write this, 450 Dow points later, we suspect that is the case. But keep in mind, this is about the market holding vital support. As far as the upside, there is some decent overhead resistance on the way back up but thinking there is more to come. How much? Not a clue but potential bad news was not only bought up, but bought up feverishly as the NASDAQ-types get a good bid.

For now, we believe the low is in. Of course, they will just gap it back down 500 points tomorrow. (sarcasm, I think! )