When the going gets tough - it is time for the technical analyst to table the ultimate technical weapon
The ultimate technical weapon is held in reserve until it the time is right to spring it. This could be the time, a time when a global recession threatens to be come a global depression. This according to the economists who look at the numbers on industrial capacity, non farm payrolls, housing starts, U.S. GDP and the Chicago PMI.
The ultimate technical weapon? -
The long term primary trend line - (always use a semi-log scale)
So, is the S&P500 a buy at 1600 or a buy at 680?
A Picture is worth 1000 words or (10,000 economist words)
The ultimate technical weapon is held in reserve until it the time is right to spring it. This could be the time, a time when a global recession threatens to be come a global depression. This according to the economists who look at the numbers on industrial capacity, non farm payrolls, housing starts, U.S. GDP and the Chicago PMI.
The ultimate technical weapon? -
The long term primary trend line - (always use a semi-log scale)
So, is the S&P500 a buy at 1600 or a buy at 680?
A Picture is worth 1000 words or (10,000 economist words)
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1 comment:
Hi,
what will happen if this long term trend is broken? what do you expect will happen next? Further fallout or tests of resistance (at that 680 level)?
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