Major Indices Break Out (down) of Triangle Formation

I talked about triangle formation in major indices early last week and that they are likely to break to the down side. And the bears certainly took control last week! We are now near Nov lows in both S&P 500 and DOW. The markets closed lower for 6 consecutive sessions and we may just see a bounce near the corner. But this doesn't mean we are out of the woods yet.

Speaking of this coming week, we have LOTS of Fed talk and it also marks the start of the earnings report season. Be sure to check for earnings date before you enter that swing trade.

Tue: Pending Home Sales
Notable earnings: AYI, APOL, KBH, FDO, SVU, PPDI

Wed: Fed President Poole speaks about subprime mortgage
Notable earnings: AA, MOS

Thurs: BOE Interest Rate Announcement, ECB President Trichet speaks, Wholesale Inventory, Fed Chairman Bernanke speaks about "Financial Markets, the Economic Outlook, and Monetary Policy", Fed President Hoenig speaks about US economic outlook

Fri: Trade Balance, Treasury Budget, Fed Gov Mishkin speaks about monetary policy flexibility, risk management & financial disruption , Fed President Rosengren speaks about economic outlook