Saturday, July 25, 2009

Can a 27 year bull market end by 2 year bear market?

Can a 27-year bull market (1980 to 2007) be corrected by a two-year bear market? Most bear markets have tended to last from one-third to one-half as long as the preceding bull market. In other words, the bear market that started in 2007 did not last as long as I would have expected, nor did it produce the great values at the bottom that I would have expected.we take what the market gives us, but we also have free choice. We don't have to swing our bat on every pitch. The market will always be here, and we can chose the pitches we want to swing at.

BOTH the Industrials and Transports are up over 100 points. This is what I call a powerful confirmation, a twin breakout with force. The implications are that the market is heading higher.

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