Stock Comment Merrill Lynch ($69.74 U.S.)

On April 19th I wrote a blog to say that I was watching MER to see if it could push its way up through the $80 historic high. At the time I said that a breakout would likely have positive market implications and a failure would suggest the opposite. MER failed at resistance and quickly tumbled to its 200-Day Moving Average at $69.

So now I'm watching to see if Merrill will plunge through its important 200-Day MA support level, with more in the way of negative market implications.

My unique price momentum models show no sign of any developing effort to hold at the important 200-Day Moving Average.