Market Review and Trends
How do I view the plunge in the DJIA and what is my plan?
By A Singaporean Stockmarket Investor (ASSI)  •  January 26, 2014
With the recent plunge in the DJIA, some could be feeling unnerved. Unless these people have invested with money they could not afford to lose, there is no reason to feel uneasy or is there? Well, you know what they say about a market climbing a wall of worries and going down a river of hope. In plain English, it simply means that nothing goes up or down in a straight line.
After hitting a high of 16,576 on New Year's Eve, the DJIA has plunged to 15,879 yesterday. That is an almost 5% retreat. Now, a correction, by definition, could see the index retreat by almost 20%. More than that would be bear market territory. So, 13,260 on the DJIA? Wow! Intuitively, it seems to me that there would be support at the 14,700 to 14,800 level.  That is about an 11% retreat from the top. Of course, this ......
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By A Singaporean Stockmarket Investor (ASSI)
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