On Thursday, January 16, 2020 the Dow pierced its long term upper trend line that runs through the top of September 1929, January 2000, and January 2018. The move above this 90 year trend line of 27.25 degrees on a logarithmic chart is expected to be brief as Market Makers accumulate significant short sales with news events such as the Phase One Trade Agreement that was signed on January 15, 2020. Development of this type of trend line is explained in Richard Ney’s 1975 book, “Making It In The Market”. See the Colgate Palmolive example on page 300 showing an upper trend line, or what Richard Ney called the “upper force line”. Everything in the market is planned by Exchange Insiders. Richard Ney explains this in the following video clip: “Yes, The Markets ARE Rigged“. Today, Market Makers (formerly known as Specialists) use high performance automated computer systems to chart their course.
Chart Courtesy of StockCharts.com