Only twice a year - Bullish sign for Dow Jones

by Michael Gable

Looking at a daily chart of the Dow Jones (below), it has just moved out of an oversold condition on the RSI. Looking back for the last two years, I have circled the points where it has done this before. It has happened 3 times before. If you project into the future from that point, it has rebounded each and every time. So with a time frame of at least a few weeks from today, you can say with good probability that it will be higher. It should drag our market with it.

So I think from around these sorts of levels we should see a bit of a recovery again. Looks like a twice a year event. You may want to do something about that?






 

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