Has the Dow really turned?

After reaching a top, the Dow Jones began a huge sell-off. John C Burford looks at the charts to see if the Dow really has turned.

I will cover the Dow again today simply because it appears I have found a top, and because my trading methods have put me short.

Recall that I had a top pencilled in for Wednesday, based upon the time equality of waves 1 and 5 on the short-term scale. I noted this last Friday, well ahead of the actual event:

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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.