Summary: Continue to maintain a LONG/HOLD position.
1/16/2014 – The stock market is stuck in the trading range since the start of the year with the DOW being down -68 points or (-0.41%). It is important to note that the market opened with a gap down and while trading closed the “UP” gap opened yesterday. Why is that important? Market always closes its gaps. Sometimes right away and at times it takes a few years. The gap down in the morning means the market must close this gap before any reasonable down move can start. This works very well with our overall analysis and the notion that the bear market will start over the next few months. We continue to hold our overall long position as there has been no change in the overall trend.
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Daily Stock Market Update, January 16th, 2014