I have been following the 1937-1942 "analog" with great interest, and if we follow it to the letter, the S&P should probably keep pushing higher to about 1080 or so before we finally have a top in. I, umm, sort of wish I had etched this into my forearm around March of this year, since I "discovered" the analog for myself way back in October, but my time machine isn't working.
This projected peak would nail the median line of the prominent downward channel I've drawn. 1080 is only 3.5% higher from here, and I'm optimistic it could really be worth the wait. In the meantime, bears are going to continue to get spanked, just like most of 2009.
