Blair

This Bear Market is Worse Than I Thought

Looking at point & figure charts to do a count as to where one perhaps find a stopping point, based on Friday's trading, we are in a general support area.

This area is interesting because it represents the 2002 bear market low for the major indices: Dow, S&P 500 and QQQ.

So, my assessment is that this area represents a 'clean up' price area based only on the S&P 500. Sad to say, the next down count projects to a level I don't even want to think about. Likewise, the QQQ appears to be in a support area (count and 2002 bear market low).

Regarding the Dow, here the next level down from the 2002 low is in the 4,000 area. There is no obvious pick point, however.