Citi report says the Dow will fall 16% next year (ZT)

Whigs

Break out your skis, next year may be all downhill for the Dow Jones Industrial Average.

Jan. 3, the first trading day of 2011, could prove the Dow's peak, according to technical analysts at Citi. They say the trading behavior of the index mirrors three historical periods (1906-1910, 1937-1940 and 1973-1977), each marked by a collapse followed by a sharp rally that ultimately petered out.

If the pattern holds, 2010 will have marked the peak for the bounce-back rally, like 1909, 1939 and 1976 before it. Ominously, for each of the three previous periods, the following year's peak came on Jan. 3.

The Citi report says the Dow will fall 16% next year. It suggests the Dow may take another six to eight years to regain its 2007 highs on a yearly close basis. The report encouraged readers to get some rest over the holidays as they "may need it."

The report's author, Tom Fitzpatrick, is taking his own advice. He's out of the office until Jan. 3.

colderdown

Don't bother. Die hard bear. In 2008, he said gold would be $2000 in 2009 due to financial melt down.

面瓜

citi就是个流氓，我最不喜欢的本地银行就是citi，能骗一块是一块。

听说炒股赚钱

thomast

citi就是个流氓，我最不喜欢的本地银行就是citi，能骗一块是一块。
面瓜 发表于 2010-12-31 03:57

阿差当CEO的公司，永远彪看好。

Diver