The Dow Jones Industrials

Notice in the above chart the MACD is showing divergence and just gave a sell signal...MACD divergences in the Dow have been reliable over the past year..The last divergence we had was in July at the lows and the market exploded from there..Now before you get excited about shorting this MACD sell signal, let me remind you that December is one of the strongest months of the year so I wouldn't expect too much on the downside.. There are two objectives as to where I "think" the Dow can go.. The first is the 50 day moving average, the second is the 11,700 area.. This area is approximately the one third retracement and it also coincides with a support level.. (see above chart)..For what it's worth, I'd rather wait for a dip to buy and I think we may get one...