man, i love google. i went surfing for something on k wave...

man, i love google. i went surfing for something on k wave winter and rediscovered a great article from clif droke that i read ages ago. given that he wrote the article in 2004, surprisingly, he wasn't too far off the mark (this is the article for anyone interesting: http://www.gold-eagle.com/gold_digest_04/droke070104.html)

rediscovering clif droke lead me to google him to see what he's up to. found his website and just finished reading one of his recent articles.

it seems he agrees with me about a possible of the mid 1970s scenario....of course....why wouldn't he. :)


Why 2009 is turning out to be a repeat of 1975

The impressive recovery in the S&P 500 index to date has been brought to us courtesy of a massive shift in the market’s internal rate of change. This was characterized by the extreme diminution of stocks making the new 52-week lows list on the NYSE since the early March bottom.

For instance, in February and heading into March the number of stocks making new lows was frequently above 100 and sometimes above 300, hitting an extreme of 704 new lows on March 5 around the time of the bear market price low. From there the number of new lows shrunk dramatically and by March 12 -- the day we went long the stock market via the Ultra S&P 500 ETF (SSO) – there were zero new lows. From then until now the number of new lows has consistently been under 10 or 15 at the most.

read the rest at this link: http://www.clifdroke.com/articles/may2009/050609/050609.html