God - Please give us just one more bubble....
I believe your wish is about to be granted patsy
the next bubble will be precious metals
DOW's long term memory effects
Usually what happens with continual noise happening everyday, ones brain tends to turn off certain channels and become somewhat out of focus on what really could be happening.
To prevent myself from becoming somewhat brainwashed I develop little projects to try and keep everything within an overall perspective.
I often look back at various historical events for help.
My little project today was looking back at history using long term resistance/support lines and to test the DOW's long term memory effect on the present DOW index performance
The 9000 mark on the DOW is well known by chartists as a key level. If the DOW breaks above this 9000 level it signals a return to a primary uptrend.
What is so interesting about this 9000 level (see green line on chart) is the fact it was also the mark which signaled the primary uptrend back in 2003 confirming the end of the last Bear Market cycle in 2002.
...interesting ....eh
Also interesting is the DOWs long term memory as shown with the other major long term resistance/support lines drawn in orange. None of this is uncommon as most charts show trends are affected by long term memory, however as an investor one can see these long term memories can give you valuable advanced warnings to be careful at these times in the future.
http://i458.photobucket.com/albums/q...us03jun94_.png
S&P 500 back above 200 day MA