Most Fridays I do a chart for dshort.com, based upon the “Joe Friday” theme from the dragnet show. Below is the chart from his site.
CLICK ON CHART TO ENLARGE
These flag/pennant patterns have taken a few years to form. Home Construction/Real Estate broke down before the broad market did in 2007 and for some reason… how China does might impact the world!
Flag/Pennant patterns breakouts/breakdowns suggest a big move is ahead…with both breaking down at the same time, this is a “fact” investors might want to pay attention too!