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Charts - Path of Least Resistance
Posted: September 4, 2008 at 11:22 pm by Chuck
After today’s significant sell off on higher volume, the path of least resistance is to the down side.
Even an attempt to rally the market upwards will be met with resistance levels that may very well just act as a brick wall and we head right back down to the July lows. The action today has clearly opened a new door to further declines in the broad market over the weeks and months ahead.
It was a significant event that needs to be respected. Bear market rules STILL apply.
![[Most Recent Quotes from www.kitco.com]](http://www.kitconet.com/charts/metals/gold/t24_au_en_usoz_2.gif)
![[Most Recent Exchange Rate from www.kitco.com]](http://www.weblinks247.com/exrate/24hr-jpy-small.gif)
![[US Dollar Index]](http://www.weblinks247.com/indexes/idx24_usd_en_2.gif)
Hello Chuck, thanks for your TAs,
I just wrote one article which is covering “Bank problems” - in czech language. Author is predicting SP500 index can fall to the levels around 45-50 in case the recession is finally OFFICIAL(without cooked GPD counting with inflation 1,3%). According to him, the US stock market still didn’t discount current situation with banks…
He is comparing current situation in bank sector with situation in 1980 when banks had a lot of bad debt in South America… It took 6 years to write off everything…
We are now just in first year, it could continue(writeoffs, bail outs) till 2011 even longer….
Just my thoughts, have a nice day!
Opitz
heheheeee… I mean, I just red… (read… wrote…) what a beatiful Freudian slip