Stocks Weekly Forecast

Week 2 of another crucial week for the markets. Talks in Washington will again be center stage, but what will tilt the markets this week?

Here's your weekly forecast.

- Stocks last week ended down and for the most part, tried to stay in the positives even with uncertain fiscal cliff news. It couldn't stay in the positive for long though, other than last Monday the markets went slightly lower, even on the news out of the US Treasury, the Federal Reserve's news budged the markets slightly upwards, and then fell in the last hour of trading during the week's end.

- This week is another crucial one. The markets will most likely stay with the gridlock in Washington and could tilt downwards. We expect it to end out of the 13000's if no deal gets done in Washington.

- Although their is some speculation that stocks could withstand some fiscal cliff news. Although the markets are all expected to go down with more and more gridlock in Washington the markets have held  even for the most part. Either going slightly positive or negative. Expect that the markets could do this again this week if the economic news comes out positive.

- The two things that are important to look at this week have to be with economic data and the earning reports. If economic data is good, the markets will go back and forth stalling between positive and negative while the if any bad news comes out, the markets could fall.

- The earning reports to be watching are Oracle, Bed Bath & Beyond, Discover, Carnival, Nike, Walgreen's, and more. These stocks could be the fiscal cliff proof stocks of the week with good economic data coming out and good earnings.

To put it in a summary, the markets are expected to go negative, and with any bad news out of Washington and bad economic data the markets could take a hit. But be speculative, the economic data should be good. And with that the markets could even out. Maybe the holiday season can come early for the markets and Washington and hammer out a deal. If so, the markets will celebrate. Keep your eyes peeled. Invest with care.