TigerSoft News Service 8/15/2011
www.tigersoft.com
TigerSoft News Service 8/15/2011
www.tigersoft.com
Momentum's Tipping Point
When does a correction become
a bear market?
After a Bull Market, the AROC Dropping
Below -1.5 Is Bearish.
-1.5 (-150%) appears to be a critical level.
The 1978, 1980 and March 2001
declines
saw the AROC fall only to -1.47 and then the DJI recovered.
On 8/8/2011, the
AROC fell below -1.5. This is not good. In 11 of 13 cases,
the DJI
fell much more, sometimes in only a few days and sometimes after two months.
10/3/1929 AROC fell below -1.5, followed by a five day
rally and then 1929 crash.
6/16/1930
AROC fell belo -1.5. with DJI at 230,11. Fell to 210 a week later.
9/7/1937
AROC fell below -1.5 with DJI at 164.40 and then fell to 112 ten weeks
later.
5/14/1940
AROC fell below -1.5 with DJI at 128.30 and then fell to 115 six days later.
9/9/1946
AROC fell below -1.5 with DJI at 172 and then fell to 164 a month
later.
7/12/1950 AROC fell below -1.5 and turned up strongly 2 days later.
5/28/1962 AROC fell below -1.5 with DJI at 576.90 and
then fell to 538 a month later.
10/16/1987 AROC fell below -1.5 with DJI at 2245.70 and then
fell to 1738 a trading day later.
8/22/1990 AROC fell below -1.5 with DJI at 2560.15 and then
fell to 2360 two months later.
8/31/1998 AROC fell below -1.5 and then built a base for a month
without going lower before rallying.
9/17/2001 AROC fell below -1.5 with DJI at 8920.70 and then
fell to 8100 three trading days later.
7/17/2002
AROC fell below -1.5 with DJI at 8542.48 and then fell to 7700 three trading days
later.
10/7/2008
AROC fell below -1.5 with DJI at 9447.11 and then fell to 7500 seven weeks later.
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