Looking grim

With the futures all down at this hour (1 AM EDT) by half a percent or better, oil taking a tumble down to 98.55 (remember, oil and the markets are moving in sync lately), the ES short stochastic making a bearish crossover tonight, the VIX coming off a big gain on Friday, and the dollar rising thanks to some Greeks who can't balance their checkbooks, there's no need to trot out a chart tonight.  I'm just not feeling the love here.  We're going down tomorrow.

Later this week may be a different story though.  While last week's two day mini-rally seems to have gotten short-circuited just like the one on May 6th through 10th, the Dow is close to its important12,450 support level.  I note also that the last two daily Dow stochastic cycles have been very odd.  Instead of their usual oscillation between high and low values, they've been traveling between low and only neutral.  Since we're now in a descending phase from a middling level, we should reach the next bullish reversal sooner.  And even more strange, the Dow RSI is now in oversold territory.

But I really don't think we're in for higher prices tomorrow.  Of course, I could be wrong.  Lord knows I was on Friday, when I thought we'd go higher and the Dow sank 93 points instead.  But hey, it could have been worse.  At least I didn't predict that the world was going to end at 6 PM last Saturday.

In the meantime, the market now seems to be in one of those herky-jerky periods I despise.  I guess it's great for the day traders, but I don't like it.  Maybe I'll take some time off for a while.