In response to:

Is Flash Market Crash Coming?

Jeff2422 Wrote: Apr 18, 2013 9:42 AM
When Bernanke shuts off the spigot, then that will be the signal to get out. At this point, the Obama administration will continue to slow the economy with taxes, regs, and debt. There is no end in sight as Obama care, piece by piece, begins to cut into the potential for job growth. Job participation rate is at all-time lows and will continue to slide. Thus, inflation will not take off. If it somehow turns around despite the government, then inflation will kick in and that is the other signal as investors will stampede to precious metals and Bernanke will have to pull back on printing or risk huge inflation. For now, the market will feed off of easy money, large corp buy backs, and relatively decent earnings from trimming down jobs.

If one were to take a look at the technical signals for the market, there are plenty of reasons to be concerned here. The market came close to breaking support levels earlier this week on strong, convincing volume.

Currently the market is trading below it’s 20-day moving average at 1552 and need only give up another 11 points before it’s broken its 50-day moving average. Normally that’s a cause for anxious waiting.

The news on economic front continues to be worrisome as well. Slowing growth in China, European economic stagnation and mixed earnings here at home are signaling...