The charts below reflect the peak in the Dow Jones Industrial Average from the week of October 8, 2007 (yellow) and February 7, 1966 (green). We're 72 weeks into the current bear market and all systems are go.
Notice that volume is generally rising in both instances. This indicates that we're still in the early stages of this bear market. This bear market will indicate that it is near the end by having a flat or declining trend in overall volume. Unlike the bear market of 1966, which began rising in the 35th week, the current bear market hasn't seen a sustained rally.
The overall trend in volume is quite fascinating. In both bear markets there is an early above trend volume pattern however, in week 17 and week 12 there is a spike down. There is also a surge in week 47 and week 48 from below trend volume to above trend volume.
All this means that while we may be at the bottom cyclically we're still in a secular bear market. Touc.
All this means that while we may be at the bottom cyclically we're still in a secular bear market. Touc.
