Remain calm. There is no top. But don’t hang up….

Top chatter continues apace and some talking heads are worried about the fact that  there has been no correction for 70 odd days.  In line with that the Tell on Marketwatch published an interesting chart showing up and down waves.  Worth looking at:

http://blogs.marketwatch.com/thetell/2014/07/24/why-the-sp-rally-is-nothing-to-get-freaked-out-about-in-one-graph/

It is an interesting point that the longest upwave on this chart is 73 days, and the present wave is about 70 days.  Well, actually everyone was sufficiently tense before that piece of information came out –cf. reaction to Ukraine plane shootdown.  But the most important chart about the market follows right here:

0724spx

http://stockcharts.com/h-sc/ui?s=$SPX&p=W&yr=6&mn=6&dy=0&id=p80294788787&a=239474174

There are occasionally truisms in the market.  Here is one:  No bear market can occur without the breaking of the mar09 trendline.

There are shorter warning trendlines not drawn on this chart.  They can be seen on the charts at edwards-magee.com.

 

 

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