More Banks Fail

More banks fail. Oil begins a slow break to the downside. American investors simply wait now to hear what bad news will come.

Much is said about the mental recession the country is in, and that the financial impact we are "reeling from" may, in fact, be more the emotions of the American investor than the reality of the situation. This means: we may have created much of our own fervor, and over reacting to market conditions.

Floyd believes this is very much true, as the downturn that so dramatically began a few weeks ago was so severe that "sell off" became much of the mix. This is just as true as when Indymac failed, partly because a member of Congress (yet again a guy that has never had a real job or owned a business) expressed concern about their ability to stay in business.

Fear, often irrational, now grips the market.

Study our Dow projections carefully. We are within a new trading range, with a market that needs a strong 100 point upside that holds to break the bear pattern, entirely dependent upon news and how we interpret the most recent "facts".