This chart is one of my personal favorites from contributor Chris Kimble, a 30-year+ market technician and student of Sir John Templeton. Chris has taken a step back to give us a long-term view of the Dow Jones Industrial Average since the year the index expanded from 12 stocks to 20 (expansion to 30 would happen in October 1928). In previous charts Chris has frequently pointed out rising wedges and Fibonacci levels, as in this example. In this latest chart he highlights a 70-year channel in the Dow. Here are Chris's comments:
Not only is the Dow up against Fibonacci 61.8% resistance and rising wedges, the index is also up against a rising channel line that has been important for OVER 70 YEARS!
Will it be different this time?
If they are long this market (?), the one thing investors hope will be different this time is that the mid-range or bottom support of this epic rising channel doesn't come into play!
This chart is one of my personal favorites from contributor Chris Kimble, a 30-year+ market technician and student of Sir John Templeton. Chris has taken a step back to give us a long-term view of the Dow Jones Industrial Average since the year the index expanded from 12 stocks to 20 (expansion to 30 would happen in October 1928). In previous charts Chris has frequently pointed out rising wedges and Fibonacci levels, as in this example. In this latest chart he highlights a 70-year channel in the Dow. Here are Chris's comments:
