How to make hay in the Dow Jones

The rapid decline in the Dow will have caught many investors off-guard, says John C Burford. But it was written in the charts all along.

On Friday, the title of my post was "Is it time to take profits in the Dow?" I was referring to my trade where I had sold the Dow short very near the top above the 16,400 area on 21 January.

Based on my analysis, I was looking for a big plunge immediately from that area. You can review all of my posts around that date for details.

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John is is a British-born lapsed PhD physicist, who previously worked for Nasa on the Mars exploration team. He is a former commodity trading advisor with the US Commodities Futures Trading Commission, and worked in a boutique futures house in California in the 1980s.

 

He was a partner in one of the first futures newsletter advisory services, based in Washington DC, specialising in pork bellies and currencies. John is primarily a chart-reading trader, having cut his trading teeth in the days before PCs.

 

As well as his work in the financial world, he has launched, run and sold several 'real' businesses producing 'real' products.