Present and Probable Market Trend
The Dow Industrials have not found a confirmed support level since their downward trend break in December. It takes a minimum of 4 days in the method I use to confirm the bottom or top of a short term trend. A potential bottom day has not even appeared yet. The same situation is occurring in the Dow Transportation average. At the current time both averages are in a confirmed downtrend, and the magnitude is yet to be determined. When both indexes are aligned in a primary uptrend or downtrend, that is the signal or cue to either be in stocks or be out of the stock market. At the very least have a plan to hedge or mitigate losses when the primary trend is down. At the current time use extreme caution.
Charts are courtesy of http://stockcharts.com