This morning’s chart from technical analyst Chris Kimble triggered in me a flashback to the crash of 1987. I was on an important IBM conference call that afternoon, but all we could talk about was the market. The all-time high reached two months earlier on August 25, 1987 is not the date that lives in our memories, but October 19, 1987, Black Monday, certainly does.
Chris comments: Sometimes key long-term support and resistance lines meet to send an important message.
Of late key lines drawn from the 1987 and 2000 highs, both met at one price point.
Any chance this intersection of major resistance lines might be suggesting the wisdom of employing some form of capital protection until resistance is taken out?
For the most up-to-date Kimble analysis, check out Chris’s blog: Kimble Charting Solutions.
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