A tepid economy.

The Federal Reserve is likely to take additional action to rejuvenate the economy and lower unemployment, an influential member of the central bank's policymaking group said Friday.
William Dudley, president of the Federal Reserve Bank of New York, said the pace of economic growth has been disappointing. And he worries that if the economy doesn't strengthen, the risk of an outbreak of deflation rises. Deflation is a dangerous and widespread decline in goods and services, wages and in the values of homes and stocks.
The Fed is considering buying more government debt to force down rates on mortgages and other loans to entice Americans to spend more. Doing so would bolster the economy.
Charles Evans, president of the Federal Reserve Bank of Chicago, also said on Friday that more action by the Fed would be "desirable." Evans said he's still assessing the best way to provide more aid as well as how much. Evans, who will become a voting member of the Fed's policy group next year, made the comments in a speech delivered in Rome.
The Fed's next meeting on Nov. 2-3.
The Fed is weighing that option, known as quantitative easing, because its traditional interest-rate lever to help the economy is already at a record low near zero and can't be cut further.

Tracking the Dow on Friday,1/10/10.
9:30am:--An early opening 60.0 points booster.Personal income rose half a percent in August.

10:30am:--Shooting star near session high.Pullback filling the opening gap.

11:30am:--A dragonfly doji near session low.

12:30pm:--Retracement time,now holding near the MAV resistance line.

1:30pm:--A technical rbound failed to test the bull pivot resistance.

2:30pm:--Pullback near the bear support line,dragonfly doji checked the decline and now attempting the bull pivot resistance again.

3:30pm:--Bearish harami at the bull resistance.

4:00pm:--Bears pull it back to the MAV support line dangerously spinning to find a bottom.

Friday's short-covering attempt to recover the previous day's candlestick body did not materialised.

Trading was jittery after the Institute for Supply Management said the U.S. manufacturing sector expanded in September, but at a slower pace than in August.

Backlogs and new orders were down and inventories were way up, which portends declining economic growth in the next few quarters.

Fresh support by the Fed needed if the economy falters.