Stephen,
Don is right on the money. The market is a powder keg waiting to explode to the upside in a way that's never been seen before and will shock nearly all observers. The stocks he mentioned like the raw materials, cyclicals, IBM, KO, etc. will be giant winners over the coming years.
I see us having one last dip into the 1205 to 1274 SPX area, then a month or two of consolidation, then we begin the march to the upper atmosphere. As I stated months ago, the maximum allowable run for the market is around 52,000 on the Dow, based on wave rules that allow wave 5 to be as large as 6X the size of wave 3. Wave 3 in the count I adhere to ran from 4/80 (770) to 10/97 (8184), or 7414 Dow points. Multiply that times 6, you get 44,484. Add that to the Wave 5 starting point of 7,400 last fall, and you get 51,884 as the maximum move. My best guess for the duration is 6 to 8 years from its 10/98 beginning.
As soon as we finish this decline into the required 1205-1274 zone, I'll change my name to "Bull-Ridah" and undergo buttocks enlargement surgery utilizing perforated implant bags filled with clear extra strength elmers glue so that each time I sit down in front of the computer, I get my required dose to help me stay in the zone.
BK |
