Posted the chart below on 5/23, reflecting that the Dow was facing key resistance and channel lines, dating back almost 70-years. At that time the Dow stood at 12,500 (see post here)
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The above chart reflected important resistance was at hand. Despite the 6% plus rally over the past few days, the Dow remains over 1,000 points lower than when the chart was produced. I doubt that the chart above woke up many bears, yet I did hope the “Power of the Pattern” would wake up some of the bulls and give them a quality reason to harvest gains and lower some risk exposure.
Below is an update to the 70-year Dow chart (see Did a 500 point decline get us closer to support)
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The attached long-term Dow and S&P 500 charts reflect that they remain much closer to resistance than key long-term support.
