New York Composite Index

Since the bullish yapping on CNBC has reached absolutely complete levels of stupidity today, I thought we would repost the Andrews Media Lines view of the market from back in December 2006. For an explanation or more detail you can look in the archives. The chart is from the 1982 bear market low that led to the multi-decade bull market that has now ended in 2007. One out of bounds event, the massive blow off in the New York Composite Index, has led to another, the massive collapse of the New York Composite Index.

You might notice we retraced 61% of the entire advance from 1982 at this recent bottom. Since then we have risen almost exactly to the 50% retracement line. An area of substantial resistance. When the idiots on CNBC start their incessant babbling, it's usually time to start worrying.