NASDAQ Joins the Party
11th June 2008
The Nasdaq joined the S&P 500 and the DJIA in their tail spin by crashing though its 50 day MA. It was only a matter of time. Oil failed to break Friday’s high, but that did not provide any relief. The DJIA is on its way to 12,000 and the S&P 500 will certainly find 1325. If higher oil prices were not bad enough, flooding in the Midwest gave grains a big kick start today. The March lows are within easy reach, especially for the DJIA. The probability of that level being tested looks like it will happen before we ever get a shot at passing the May highs. Say by the end of this week maybe?
Hold on for the ride. Its not likely to be smooth.
JD