Dow 10

A surprise plunge in consumer confidence sent U.S. stocks to the year's lowest close, with the blue-chip Dow down well below 10,000. Again. With the report coming after bad news in Asia and Europe, U.S. equities never had a chance.

If Dow 10,000 really is a key psychological level, then traders best call their shrinks. The major averages, already on a four-week losing streak, face anxiety over the Euroland debt debacles and waning earnings momentum. In other words, brace yourself for Dow 9,000 and change.

The Dow Jones Industrial Average ($INDU) has reclaimed the psychologically important 10,000 level. So is this the first leg of a new bull market? Should we expect the Dow to continue rising, perhaps to its old high above 14,000? Or maybe there will be a sharp snapback that will send the market...