DOW on the way to 6,500

I know we are all tired of the economy. I know you don't want to hear this. But the Dow is not done bleeding. I predict that we will test the 6,500 area in the next 5 months.

Why? Three reasons:
1) The trend is lower, and as they say in the trading pits, "The trend is your friend." Fighting a trend can be deadly.
2) Lack of positive news. Without a reason to go up we will most certainly drift lower. staying in one place is something markets are not good at.
3) Banks are sitting on the bailout money. The liquidity issue we have attempted to address by sending money to banks may have helped the banks be more stable, but that has yet to translate into banks lending more.

What should you do? Stop looking. The train will come whether or not you worry about it everyday. So stop worrying.

And hey- maybe I'm wrong!