| Videos | Channels | Search |
Are US indices running out of steam?
The Federal Reserve chairman Ben Bernanke reiterated the central bank will keep its stimulus policies for as long as necessary and investors are starting to get the message.
The Dow Jones and S&P a few points from all-time highs. But those few points could prove dramatic in deciding whether we are in for a new rally or whether we will see a correction.
Along with the Nasdaq Composite AND Nasdaq 100, the Dow Jones Industrial and S&P 500, all performed a Bearish Engulfing pattern Tuesday; where the market opened higher than Monday's close but ended lower than Monday's open. A Bearish Engulfing pattern indicates a top and reversal in the market. This means we could see a correction of anything up to 10 percent.
But a close above Tuesdays open will demolish the top and reversal pattern, in which case the S&P could continue higher through 1700.
01:34 minutes
Tags: Sara walker, ben bernanke, correction, dow jones, fed, federal reserve, indices, nasdaq, pattern, reversal, s&p, saxo bank, saxo tv, stimulus, tradingfloor.com, video