NDX100 & SPY  60'charts

NDX100: Diamond Top + Quadruple Tops, gapped into the diamond, will it be gapping out of the diamond on Monday, Oct. 11 ?!?!?!  We shall see.

SPY: Broadening Wedge is always the final sucking phase.

Dow Jones 60'chart

A very standard ABC bounce as Wave 2 and a large ABC bearish flag.

Timing the market: Wave B+C = 1.618 x Wave A

As you guys know, I am NOT a fundalmenlist.  But I can not agree more what this fundalmentlist wrote on Oct 3, 2010, as quoted below:

"Let's now look at value, which is another historical marker of secular bear markets. Historically, the dividend yield will be roughly equal to the price earnings ratio at secular bear market bottoms. I have used the S&P data here because I did not have this data as far back on the Industrials.

At the 1932 bear market bottom the yield was 10.50% and the P/E was just under 10.

At the 1942 bear market bottom the yield was 8.71% and the P/E was 7.3.

At the next great bear market bottom in 1974 the yield was 5.9% and with a P/E of 7.24.

If we take this same reading at the 1982 low the yield was 6.2% and the P/E was 6.9.

For the record, these P/E ratios are based on Generally Accepted Accounting Principles and not the bogus George Orwellian methods of today.

At the 2009 low, the P/E was 26 with a dividend yield of 3.2, which is hardly at par.

Therefore, based on this historical measure, there is also no indication that the 2009 low marked the bear market bottom. ".

You see how the 1974 bear market bottom was made. Remember what Mr. Buffett did and said in 1974 when his lucky time turned up and Mr. Buffett made his fortune. This was what he said at the time: "I feel like an oversexed man in a harem. This is the time to start investing." -- Warren Buffett, 1974.  However, at a top (1973) before the bottom was reached, Mr. Buffett said the opposite: "I feel like an oversexed guy on a desert island. I can't find anything to buy."  -- Warren Buffet, 1973.

GOOD LUCK TO EVERYONE !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!