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The Dow Jones Industrial Average had a slightly negative session for most of the day on Thursday, administered bounced in the end in order to form a nice-looking hammer. It looks as if the 13,500 level will become support now, and a move above 13,600 should send this market even higher.
However, we are at the top of what could be loosely defined as an up trending channel, and as such we think that perhaps we may need to go sideways for a moment. Nonetheless, we certainly wouldn't short this market as the Federal Reserve is more than willing to keep pumping more dollars into the market.
With this in mind, if you choose to go long at this point we would suggest perhaps looking into the ETF market in order to take part of this nice up move. This negates any problems with leverage at the moment as we could see a slight pullback. However, this allows you to have a "core position" that can take advantage of a rising market.