Stock Market: Where do we head from here?

I took the time this morning to look at all the stocks on my watch list. I have about 40 stocks on my watch list. I noticed that the majority had one thing in common, most were trending down on the MACD lines. The MACD is a tool which measures convergence and divergence of the moving averages. You can get a good definition of it at this site Investopedia. It showed me more evidence that the 3 major indexes, the Dow, S&P 500 and the Nasdaq, are trending negative going into the last week of the year and most likely the first week in January.

Given the escalation of the conflict between Israel and Hamas on the Gaza strip, the Futures are pointing negative since the close on Friday. With the retail sales looking abysmal it will not be surprising to see the markets get shaky tomorrow, even with light volume. I do not believe it is too late to buy the ETF Ultra Short of the S&P 500, symbol SDS as it closed at $76.11 on Friday after paying out an $11.46 dividend to shareholders.

Check back here during the week for updates on the market.