2009 will be a year of complete destruction for the US economy. 5 Million will lose their jobs. The Dow Jones Industrial average will break below 6,000. Municipalities will fail. Insurers will fail. The unemployed and foreclosed American population will take to the streets and begin rioting. The Greatest Depression is upon us.
Sound far fetched? We welcome you to read our archive section from 2007. ChartingStocks.net issued warnings of the coming stock market collapse and successfully predicted the coming depression which is now at hand. At the time, our view was also “far fetched.”
January Barometer
Analysts like to give their full year forecasts in December before the year begins. It makes sense considering the amount of new years resolutions and the endless assortment of “Top 10? lists for the coming year that one tends to see at year end. From a practical standpoint, however, it makes must better sense to forecast the financial markets after the crucial month of January has past.
Historically, stock movements in the month of January has been an accurate predictor of the following eleven months. Technicians refer to this as the “January Barometer.” According to the Stock Trader’s Almanac, the January Barometer predicts the year’s direction with a 74% probability. To coin the old Wall Street saying - “As January goes, so goes the year.”
