Dow, S&P 500 bulls are facing the most important test of the new year, says analyst

By Mark DeCambre

A bout of selling that left U.S. stocks on track for a three-day losing streak Friday might represent the most crucial test for the bulls so far this year, according to one market technician.

Mott Capital’s Michael Kramer said Thursday’s trading action demonstrated the stock market’s resilience as major indexes managed to hold at or above key technical support, but a trade beneath those levels on Friday could be a sign that at least a short-term reversal of may be at hand.

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