Kev, that 1625 for NAS interesting, that is the top of the new channel that has developed.
It is very unlikely we break above that, not without a caputilation test of the lows.
Also the trendline on that 1981 NAS chart for the top trend is NAS 2000, and we have now entered that channel. Which means the new trading range is 800/2000. The closer we rally to 2000 then - the greater the risk to the bulls. Cause no way in @$#% are we breaking above 2000 again for sometime.
As for that 800 target, just based on historical bear market bottom lows, it is doable. Most will call you crazy for even thinking that. I still believe we could see a spike below that number, that number is hard to project. And that 800 NAS target actually is the historical trend channel the NAS should have been at right here in 2001, if not for the bubble, so that also is a valuation in a good market, that is growing and in great economic conditions - something to think about.
However my projections do show a NAS 400 worst case scenario. Do not think it could not happen, it could. And thank one person for this, UNCLE Greenscam himself. I feel this is doable, because at bear market bottoms, markets trade at insane low valuations, PEs and dividend yields.
Great article. And bottom on the NAS already in, someone must be smoking some killer grass!!!!
All the best
West |
