Another look at DJIA in log scale since the top of Jan 2000. The past two market TOP correspond very well to the dead cross of MACD lines. Just two weeks ago, DJIA hit another all time high well within the top resistance but quite terribly MACD lines has the onset of dead cross. Based on this study, it seems that DJIA has came to the 3rd stage of Stan Weinstein analysis. I am embracing myself for possible 4th stage of market cycle very very soon!
Since the higher high fits so well in the uptrend resistance, i made another study on the percentage of increase of the current high compare to previous high. The Oct 2007 Top is roughly 20.14% higher than the Jan 2000 top. So extrapolation of this 20.14% from the Oct 2007 high would give me roughly 17051 points in DJIA.
Last clue, the 17151.56 was well REJECTED! Hence, I am >70% confidence that i am ready to be in short position fully noting that DJIA might make another high again.
Since the higher high fits so well in the uptrend resistance, i made another study on the percentage of increase of the current high compare to previous high. The Oct 2007 Top is roughly 20.14% higher than the Jan 2000 top. So extrapolation of this 20.14% from the Oct 2007 high would give me roughly 17051 points in DJIA.
Last clue, the 17151.56 was well REJECTED! Hence, I am >70% confidence that i am ready to be in short position fully noting that DJIA might make another high again.
