Last week the Dow fell below its June low. But happily, the Transports did not confirm, as you can see via the two charts below.
I thank God for this bullish non-confirmation, since I believe it was the market's way of telling us that we are not going to face a continuation of the primary bear market and an accompanying economic depression. If the stock market continues to rally, that will be a good thing, but ultimately the matter of surging US debts will have to be addressed. How this will be solved I have no idea.
I've lived through many primary bear markets and recessions and believe me, they are always miserable. Some have been saved through the old limerick, "He who panics and runs away lives to invest another day."
During the 1800s there were many panics and recessions. This finally paved the way for a central bank and the Federal ... Log in or subscribe to continue reading.