Professor Elam

Many are noting that the Dow is trading where it was ten years ago, let's take a look. BAck then the Dow topped in December 1999, just as it has ten years later. It then made a series of lower highs styaing in a trend channel for a year and nine months. THere were three breakdowns and about three highs. It is clear in retrospect that this was a giant distribution pattern, the early buyers selling to the late comers.

Just as a reminder, the ending was not pretty, note this chart adds a year,  and was repeated again last year. Note the last hurrah in early 2002 at, right where we are now, 10,500. Does lightning strike twice?