Current Market

Looking at the chart of the DJ-30 going back several years I see a head and shoulders pattern trying to form. The left shoulder would be from 1997 to the start of 2003. The top of the head is around Oct of 2007. If it is a head and shoulder developing the right shoulder hit its top the first week of May of this year.

Does anybody else see this? It is an important question because if it is true and plays out the market would not break down rapidly till the Dow is around 7500. From there it would be down fast and big. And that is a big mover from here.


Hi Rick,

Are you implying that you will stay long until the DJ-30 declines to 7500 and then short it?

I have found that trading multi-year trends is not the best way to make money in the stock market.


No Jim I am not implying that at all. I am a short term trader. I just post that observation to get feedback from others and to point it out to long term investors.