Earlier this year I performed a spectral analysis on the INDU. One of the most jaw-dropping things I saw were all sinusoids at or less than 650 days shot staight up in March '09. That was one massive stimulus. The 650 day sinusoid was bottoming and if the FED could have waited until April or May '09, then no questionable actions would have been taken. Now that the market spectrum is very distorted on the longer sinusiods, and small FED injections will distort the short term sinusoids, I have stopped trying to perform spectral analysis and am keeping money on the sidelines.
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