Stocks still look cheap

Investors are anticipating what the markets will do once they return from four days of holiday. While trying to figure this out, we should point out that the stock market is still priced affordably and that if it can hold support at 7,800 points, then good cost per share bases will attract potential investors.

Outside factors could influence market development during the next several days: the Cyprus bailout and the problems that Italian central-leftist leader Pier Luigi Bersani is having forming a government in his country. These factors considered, it is best to remember that technical investing experts always say that it is best to invest when markets are holding support than when they are breaking resistance.