Market Analysis 11/19/2004

There is nothing terribly new this past week. My medium term bias is still bullish since the downtrend channel is broken a few weeks ago. I still expect the nasdaq to reach its 52 week high of around 2150, and 10,750 for the dow over the medium term.

The index has been going up without any sort of meaningful pullback. Right now, I expect some sort of pullback over the next two weeks.  

Any weaknesses approaching the broken trend line is a good opportunity  to buy. If investors can buy when the indices approach its broken trend line, a one-year-gain of 10% or more is quite feasible.

END