Predict Market Swings With Technical Analysis
Chapter One
Trading Price Swings
A NEW MARKET PARADIGM
At a series of client seminars in February 2000, I made the following
statement.
As we begin the millennium, this 18-year bull market shows all the
technical, fundamental, and speculative signs of completion. I am not
saying that we are entering a bear market, which when ended, will then
allow the resumption of the current bull market. I am saying that we
have been in the topping process that will lead into a larger-scale correction.
I do not believe we are facing a market crash. I think we're facing
a time correction, an extended sideways up-and-down movement
that encompasses a number of bull and bear markets.
My thesis was that the 18-year bull market, which began in 1982, with
the Dow Jones industrials just under 800, was displaying the classic signs
of a major market top. You would think that the classic signs of a major
price top are certain economic conditions, but they aren't. The classic
signs are (and have always been):
Extreme overspeculation and interest in stock investing by the
public (higher this time than during previous major ma ... read full excerpt from Predict Market Swings With Technical Analysis ebook
