A MATTER OF PERSPECTIVE
With everything being relative and all that, what is the proper perspective to keep in mind when figuring out the stock market these days? I’ve tried looking at the Dow Industrials and other key indices using a variety of criteria, hoping to find THE answer. But there are, instead, answers, as in: no one right answer. Let me share a couple of Industrials charts that have something important to say. The first is similar to the one I showed last week, with a continuation of the recent trend of rabid up/down days.
It includes last Wednesday’s “biggest up day of the year," which was followed by Thursday’s “biggest down day of the year.” Those alone tell a powerful story. But with Friday’s downward follow-through and the break to new lows (shown by those red zeros), the psychotic ball is currently in the bears’ court. A fall below the August ... Log in or subscribe to continue reading.