The news is out. Housing starts for October fell 14.6%, to 1.486 million units. This is the lowest level in six years. Nationally, new home prices have fallen 9.7%. Existing home prices have yet to fall, but will soon.

The next shoe to drop will be retail sales, and when it does, the stock market will follow. I don't even think the mighty Altria’s (Phillip Morris) stock performance can help the Dow. Slowing or falling retail sales will be the catalyst that will make the markets fall. When this happens, investors will wake up to the realization that the stock markets recent advance was one of the biggest sucker rallies known to man.