Dow Forecast for 5/6/10

The dead-cat bounce I was expecting today never materialized. In fact we ended up lower by a non-trivial 58 points. Where next? Look at the weekly chart:

Yesterday we rejected the 200 week MA and moved lower today. Right now I see no support until the 10,610 level, marking what had been resistance earlier this year. That also corresponds to the lower edge of the regression trend channel starting at the low of March 9.

So I'm going to have to say we're going to see 10,610 (in the next day or two) before we see any further moves higher.