Sunday, May 1, 2011

Thoughts About the Dow Industrial Average

Dum: Dee, what do you think of this morning's stock market opening?
Dee: I'd call it 'hopeful.'  I mean that I'm hopeful that we will see some upside follow through to a not-bearish but not-strong opening.
Dum: What about the longer term? Haven't we had a really big rally over time?
Dee: We really have. In mid-March of 2009, when enough got to be too much, we were near 6650 on the Dow. Now we are at 12,200. That's more than 200 points per month, on average, a whopping big run.
Dum: The way you put that it sounds like too much, too fast.
Dee: It really is. It would be surprising to me if we don't see some sideways, down or drifting down motion in the coming months.

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