Sunday, April 03, 2011

The Dark and Foreboding Future of America's Stock Market


This graph shows how America's stock market is overbought.

The other interesting component of this graph is that it shows how quickly the market corrects itself once the realization of being overbought occurs.

My thoughts when I look at this graph are that sometime in the near future there's going to be a really huge down swing. ...sometime within the next year.

A crash has been inevitable, but the market has been propped up by the Federal Reserve's bailout.

The goal of the bailout all along has been buying time. When eventual crash sends the American people into the street in protest, instead blaming the bankers, a new "why" will be blamed.

If you read my previous post, you might get an idea as to what that "why" is going to be.

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