Tuesday, August 16, 2011

Are We Following in Japan's Footsteps?

Seen at The Big Picture here.

The idea is that the Japanese stock market experience in red superimposed over the US SPX in green (lagged by a decade) predicts a new low in the US below the 683/666 level of March 2009 by 2015.

The market trend line in the US went haywire in 1995. The February/March 2003 and March 2009 lows represent corrections toward that old line.

The Maestro noted the irrationality of the break out from the trend already in December 1996.