I thought that it would be pertinent to post some interesting activity that seems to be coming to a conclusion imminently…yes, I know its been a rough slog for the bears…but the Nasdaq which has been a leader of the entire move off the lows and also was the harbinger of the biggest bear this side of 1980…has now completed a very symmetrical pattern. There is both time and price symmetry.
Markets love symmetry…and these levels definately have it!
The irony is that though this market has been pushing relentlessly there are these pretty significant road blocks…not the least of which are the 80 year trendlines on the DJ and the 30 year trendlines on the SP500…below are some things I think that should be kept in mind at this as the market seems to capitulate at these levels. (the SP and DJ monthly charts are from yesterday)
In addition to some of these longer-term trendlines…the DJ Utilities look like they are starting to rollover after a lengthy and rather unimpressive retracement.
