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peter-l
Feb 28, 2020 11:16 AM

The Dow's decline is a sign. 

Dow Jones Industrial Average IndexDJ

Description

The Dow has fallen in panic over the past week, falling more than 3,200 points a week. The VIX index of the S.P. 500 peaked in 2011. Some people say that the outbreak caused the Dow Jones index to crash, in fact, the market has a foreboding. I published an article last November predicting that the Dow would peak in six months at 29,600 or 34,400,with a target of around 17,000. I didn't expect it to be cashed in three months.
We look at three monthly top divergence in the history of the Dow, the first three of which have resulted in a decline of more than 20%. Time varies from 3 to 9 months. This time bears a lot in common with the 1990 adjustment. At that time, Japan and the United States had just signed the Plaza Agreement. This time it happens to be the time when China and the United States sign a "trade deal".
History is always strikingly similar, and investors are expected to take care to avoid risk.
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