October 2009 Stock Market Crash Ahead

By: Dan Basch | Sat, Oct 10, 2009
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Technicals indicate a 1987-style stock market crash is anticipated for the current month. The Rising Wedge pattern on today's DJIA daily chart is technically perfect as was the 1987 Nasdaq weekly chart before the crash of that fateful year. Soon, I anticipate opening a position in QID to take advantage of this event.

Observe how the technicals repeat, this time on a daily chart:

Compare to the multi-year weekly chart of the Nasdaq in 1987:

I am not a professional investment advisor, consult one if you would like. My advice to those who ignore technicals is to work in a single story building, although defenestration makes great copy for the next day's headlines. And of course, no guarantees from the management.

Good luck, and see you at the bottom.



Author: Dan Basch

Dan Basch

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