After all, the currency has no yield support, a continuing trade deficit and the prospect of endless fiscal deficits.

ECONOMIST: A bearish perspective on the market in 2011

Another reason to like dividend stocks is they tend to be less volatile over time because yield provides support: a stock yielding 5% is less likely to get cut in half and yield 10% than a non-dividend paying growth stock or a low-yielding stock.

FORBES: 5 Monthly Paying Dividend Stocks With Attractive Yields

The next major support in terms of yield is at 1.55-1.56%, which corresponds to the November and December lows.

FORBES: Is This the Pause That Refreshes?