Dow Jones Industrial Average forecast for the week of December 24, 2012, Technical Analysis

The Dow Jones Industrial Average futures initially rose during most of the week as the 13,200 level was broken again. However, by the end of the session on Friday we saw a significant pullback which formed a shooting star for the second week in a row. This looks very bearish, and in fact we could be in the beginning of a “rollover” as the market simply has far too much to be concerned about.

However, we believe that since we are heading into the Christmas and New Year’s holidays, it’s very possible that we don’t do much over the next week or so. Because of this, long-term traders should simply be worry about other things than this market, such as spending time with their families. We believe this is an excellent time to be flat.