"You know what the news is-- in a minute, you're going to hear the rest of the story"- Paul Harvey

The weekly newsletter briefing was posted to the "Newsletter" portion of the website earlier today. To access the "Weekly Briefing", go to the "Newsletter" link at the top of the page and sign in by establishing your own username and password.

The major market indexes closed higher for a sixth-day on light holiday volume. Despite today's news from a MasterCard Advisors unit (SpendingPulse) saying that retail sales advanced 3.6% this holiday season, the evidence suggests sales are still way off their torrid pace of 2006-2007.

Bear market rallies can be very rewarding, and so far, the S&P 500 has retraced about 50% off the losses from the March lows of 666.

The key levels we are watching will give us a good ideas of where the market is going. If by Thursday's close, the major indexes close above the key levels identified below, we think the market can climb much higher than many are expecting.

Key Levels:

DJIA: A close above 10,800 by year-end will be a major positive, and suggests we could see a much stronger move to the upside. This level could clear the path for a move to 11,500 fairly quickly.

S&P 500: A close above 1140 on the S&P would also be a very positive sign. This could clear the way for a move up to the 1220 level.

NASDAQ: The NASDAQ has been stuck in a 10 year bear market, just like the one we have now forecast for real estate. The NASDAQ has seen numerous rallies, but still remains way below the highs of 2000.

The NASDAQ has already broken above key resistance levels, and looks poised to lead, particularly after the 10 year anniversary of its crash which occurred in March of 2000.

In January, I am looking for a 10% correction that could immediately, or certainly by mid month.