04 February 2009

Very Long Term Dow Jones Industrial Average Chart

Projections are for a longer term bottom between 4900 and 5750.

This will likely set up a new bull market after a period of consolidation and recovery that will have a longer term objective in excess of 20,000 (in inflated dollars.)

There will probably be a false start recovery after the lows that will really be a significant rally followed by a fifty percent pullback before the bull market can start moving higher in a more steady and measured way supported by improving corporate earnings.

There will be significant skewing perhaps as a large number of Dow Index stocks are replaced by other viable companies.