Having said this, I should explain myself a bit better...
If all I had to do 65 hours a week was "charts & charting interpretation", my guess is that I'd be the best dang chartist around. So, I don't envy a good chartist but rather give well-deserved respect to him (or her).
This is to say that I've reviewed 3 of my best chartists & read their interpretations. The best assessment I got was the attraction of prices (in this upturn) to be pulled by a Dow level of 9000-9655 and an S&P level at 1000. Prices should NOT exceed those levels, but rather are "attracted" to those levels. Of course, an upturn can stop shy of those levels.
Once that push upward finds its exhaustion, a pretty doggone tough downturn will commence. This is probably why every studious reader of the market knows that the bear trap is in play. Precisely said in the previous post, the High Risk Takers are propelling the upturn and will, as they normally do, cause low-risk folks to move assets from safe havens & put it back to work in the market.
What happens, IMHO, is that those who step back into the market have zero comprehension that this is not a buy & hold market, but rather that they must (by all reason) be nimble and... more importantly... give a great deal of attention to their money. That folks have moved from brokerage firms & are attempting to manage their money is wonderful, but only if they have the wherewithal to be successful at it. We are in a market that does not have sophistication levels and the clout that goes with those levels. Many of those novices will get caught in this bear trap.
I think I wrote Mike about some strong Gann Angles clustering at June 26th (plus or minus one week) and a Bradley turn at at nearly the same date. There is another Bradley (strong) turn signal at July 14th. It really doesn't matter if anyone other than me follows this or not, but what you should get from me is that the propensity of the market to turn in the early summer months is extremely high. Both the Gann & the Bradley turns were set in place in early March & remain (by the manner of the theories) absolutely unmoveable.
Granted, a "turn" means that if the market is going lower into the "turn" timeframe, it will turn & move higher. If it is rallying into the timeframe, it will turn and move lower.
It's hard to believe that the market will go down through June 26th & then turn into rally mode. It's more logical to think it will rally up to June 26th (+/- one week) timeframe & then head south.
So, that's the vicious bear trap being set up.... and I really think they have it right. Would love to hear from anyone who has better tea leaves! At least they have provided the Dow & S&P "levels of attaction" in an upward advance, signaled that prices should not exceed those levels, the prices should turn down strongly when they exhaust the "pull" toward those levels. Then, the theorist, irrespective of the chartist, gave the dates. How good can it get?????
LOL! This has been going on for years, no? But, heh, it makes life a bit easier when tea leaves are right 70+ percent of the time. Now that I've laid out what respectable chartist say, we can all see how it plays out.
