monday trading, page-42

Hi, Rob,

I think we have gone far enough, and close enough to The Great Depression of 1929. Logically, the current downtrend should stop somewhere very soon if not already.

I am learning charting, I cannot comments on your Dec low case. But I do believe at least there is a decent relief rally before it could happen.

But Bob Hoye think the bottom will be the end of this month for several reasons, such as capitulation on weekly chart, 55 days from QQQQ recent high, and fund redemption ending by the end of Oct. He expect a rally that could well pass Dec, and extend towards the first qtr.

I have noticed several developments from US, particularly, the Russel 2000 small cap close over 4% high on Friday.

DOW is performance is so interest to observe. Basically you could see 100 points change second by second!!! Obviously in the end the mutual fund redemption has forced DOW into negative after rally over 800 points from 3:00pm low of 8050 to nearly 8900 at 3:40pm. Then came the fund selling.

Well, the only negative to our Aussie market is energy and material sector is not in good shape because of week oil, base metals and precious metals prices. But all these could be changed if there is a turn around in overall market.

Check Canadian market, it has down 42% from all time high, similar to our market.