The Dow Just Keeps Going Up And Up

Discussion in 'Investment Charts' started by Chartman, Dec 28, 2019.

  1. Chartman

    Chartman Senior Investor

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    While we have seen a short-term fall in the Dow Jones industrial average it appears that any setbacks are being seen by some investors as a cheap way back into the market. There are many local and international issues for Donald Trump to address in the short to medium term but the markets just keep on going up and up.
     
  2. longtermbull

    longtermbull Administrator Staff Member

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    Have we got the makings of a head and shoulders formation on the above chart?

    If so, might we see a short term rally followed by a significant sell-off?
     
  3. Buyonthedips

    Buyonthedips Senior Investor

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    Is the coronavirus starting to catch up with investors? Are investors switching into cash while the market settles?
     
  4. Chartman

    Chartman Senior Investor

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    It looks like reality is starting to kick in just a little - although every fall seems to be a buying opportunity for those who missed the last one!

    This deadly virus does not seem to be going away in the short term and MUST have an impact on the worldwide economy.
     
  5. Buyonthedips

    Buyonthedips Senior Investor

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    You do start to get the feeling that at some point in the short to medium term a pullback in the market will not lead to an immediate bounce back. There is just so much going on for investors to remain positive in the short term and also after a good run maybe some stocks are becoming overvalued?
     
  6. gowiththeflow

    gowiththeflow Senior Investor

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    Are we seeing the emergence of a head and shoulders pattern? You do get the impression the Dow Jones industrial average wants to consolidate at lower levels but with interest rates so low investors seem to be buying into the dream on any slight self off. Very dangerous!
     
  7. longtermbull

    longtermbull Administrator Staff Member

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    The coronavirus is not going away in the short term and will have an impact on the worldwide economy.

    While nobody is suggesting we will see millions of deaths, there is no doubt that the virus will impact worldwide economic growth. As a consequence many listed companies may fall short of their current profit forecasts resulting in a short term share price fall? While some will bounce back when markets recover, others could struggle to cover debt payments, etc. Tricky times!
     
  8. Buyonthedips

    Buyonthedips Senior Investor

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    So we are approach a pandemic? Many experts are saying that the virus is now alive and kicking on too many fronts to get it under control in the forseeable future. Can we learn to live with the threat of the coronavirus?
     
  9. gowiththeflow

    gowiththeflow Senior Investor

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    I will be staying out of the market for the moment as catching a falling knife is not easy! Nobody really has a clue about the potential consequence of the coronavirus.
     
  10. Chartman

    Chartman Senior Investor

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    The DJIA has lost over 3000 points and many are saying there are more falls to come!
     
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