Everyone will have an opinion, you will read and hear all kinds of things, CNBC being the source for most, you will get a horribly slanted opinion.You may be confused yourself, reading some fundamental pieces which go against the action you see.
We ONLY know a top or bottom is in AFTER THE FACT, so what other than technical data do we have?
ABove I have used LONG TERM moving averages, and when they CROSS each other as shown going UP or DOWN, I PAY ATTENTION!
There is NO fighting it. IN 2003 when the 20 wk crossed the 50 wk and all lined up together rising....going against that is foolish and vice versa, as they are now declining to gether and crossed down....ALL I can deduce is we are early in this bear market.....and I will not know when it's over, until they look like they did in 2003.
YOU can also see/observe how price is SUPPOTED or TURNED BACK (resistance) when touching these moving avg's. YES they mean something....it negates ANY opinion someone might have.
Last Bear had several nice rallies, each ending in MUCH lower prices.
Is it time NOW for one of those (finally) multi week or month rallies? I am not certain, but I notice the Transport average is outperforming here and 600 points above its lows.....the DOLLAR is rallying as commodities fall, does that mean money now comes back to stocks?
We have now a period of CREDIT CONTRACTION....for MANY MANY years it has been EXPANDING (good for bulls) this is serious stuff..
SOme articles of interest
http://www.kwaves.com/kond_overview.htm K waves
http://www.gold-eagle.com/gold_digest_02/droke051602.html Cliff Droke from 2002
credit flow investor eye opener http://www.creditflowinvestor.com/
Duratek
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