Is the market due a bounce after yesterdays 500 point decline?  Odds are very high on a short-term basis, a bounce is due…. just check out the VIX.

During these times I am of the belief it is can be helpful to look at long-term charts for a little perspective.  I am of the opinion it is fair for us to ask….”Did the decline over the past 8 business days get us very close to long-term channel support?”


I hope the markets don’t move any lower, yet as the book cover says…”Hope is not a strategy!” 

Long-term channel resistance came into play earlier this year, which from a strategy perspective was suggesting to lower/harvest equity exposures up against long-term channel resistance.  I suspect this resistance has had much to do with the market making little net progress since the February highs.

How The Recent Decline In Stocks Looks "Eerily" Like Major Bear Markets Of The Past