In case you haven’t taken a look at the S&P 500 or the Dow Jones Industrial Average recently, things are starting to stall quite a bit. I predict over the course of the next month we are going to see a trend reversal to some degree. Will this mean stocks are going to fall and crash into the ground? Of course not, but I don’t need them to in order to make money.

Here’s a look at what’s going on:

As you can see, the performance of the Dow over the past six months has been quite impressive, but throughout January and December it has been struggling to break resistance levels and has been slowing in momentum. To take advantage of what is likely a downward turn or in the very least, static market momentum, I placed a bear call spread on the DIA, which is the Dow Jones Industrial Average exchange traded fund. Since it failed to break recent resistance at 107 and is showing a reversal of momentum, I have reason to believe I’ll be able to hold this until expiration and realize a full profit without too many problems.