As you are well aware of, there is a storm going through global financial markets and the US Markets have confirmed my fears of registering lower lows. The S&P 500 Future has plunged down below 1200 as I was expecting and now it should be resistance equally strong as was the support.
NOTE: the following paragraph is on events and I DO NOT RECOMMEND TRADING BASED ON NEWS/EVENTS/FUNDAMENTALS.
Fundamentally, the way things are unfolding and the way US giants like Lehman are failing its more of a confirmation that the crisis is just entering into middle phase and not over as many morons had been predicting and the worse thing is the FED and US Govt are finding it difficult to handle. Make no mistake - the US economy is still so big (the decoupling theorists are another bunch of morons) that it will be hard to remain unaffected for any economy in the world. Hopefully the emerging economies like ours in India will manage to retain some growth but fundamentally we are nowhere near bottom. The worse times are still ahead.
I conclude this post with the repeat of my warning that a trader should not trade by looking at events and fundamentals and its best to stick to the charts.