The major indexes will try to avoid the scary side of down this week. Bears will have to launch an assault knowing the Fed will continue to inject billions of dollars into the financial system if a break of any size appears. Bernanke is fighting against the Greenspan era of easy money which perpetuated idiot trades. The combination of liquidating and spreading out of them can take time.
The real question for the markets is determining if there any meaningful upside. Since October of 2002 these market have had an ability to digest bad news and continue the steady march upward. Overall, markets have yet to get wacked technically but could have plenty of churning downside. The DJI could stay in a range between the highs and April lows for an extended period.
