January10-Week3

Many markets made new highs last weeks, as we had indicated in our previous post.
Now we are entering the Full Moon period , which is usually not so good for stocks.
If you took short positions at the end of last week, then keep stops just above the recent highs.
The Nasdaq is holding only barely above a long term uptrend line.

So if we get any downside move, then we are likely to break this major support in the next few weeks. That could initiate a drop back towards the 2000 level.

The only lunar event this week will be extreme Latitude on early Friday.

Good luck, Danny